§ 18B-904. Miscellaneous provisions concerning permits. - North Carolina Statutes

§ 18B‑904. Miscellaneous provisions concerning permits.

(a)        Who ReceivesPermit. – An ABC permit shall authorize the permitted activity only on thepremises of the establishment named in the permit. An ABC permit shall beissued to the owner of the business conducted on the premises, or to themanagement company employed to independently manage and operate the business.The ABC Commission may determine if a management agreement delegates sufficientmanagerial control and independence to a manager or management company torequire an ABC permit to be issued to the manager.

(b)        Posting Permit. –Each ABC permit that is held by an establishment shall be posted in a prominentplace on the premises.

(c)        Business NotOperating. – An ABC permit shall automatically expire and shall be surrenderedto the Commission if the person to whom it is issued does not commence theactivity authorized by the permit within six months of the date the permit iseffective. Before the expiration of the six‑month period, the Commissionmay waive this provision in individual cases for good cause.

(d)        Notice of Issuance.– Upon issuing a permit the Commission shall send notice of the issuance, withthe name and address of the permittee and the establishment, to:

(1)        The Department ofRevenue;

(2)        The local board, ifone exists, for the city or county in which the establishment is located;

(3)        The governing body,sheriff, and tax collector of the county in which the establishment is located;

(4)        If the establishmentis located inside a city, the governing body, chief of police, and taxcollector for the city; and

(5)        The ALE Division.

(e)        Business orLocation No Longer Suitable. –

(1)        The Commission maysuspend or revoke a permit issued by it if, after compliance with theprovisions of Chapter 150B of the General Statutes, it finds that the locationoccupied by the permittee is no longer a suitable place to hold ABC permits orthat the operation of the business with an ABC permit at that location isdetrimental to the neighborhood.

(2)        The Commission shallsuspend or revoke a permit issued by it if a permittee is in violation of G.S.18B‑309. Notwithstanding subdivision (e)(1) of this section, theCommission shall, by order and without prior hearing, summarily suspend orrevoke a permit issued by it if a permittee is in violation of G.S. 18B‑309(c)when, prior to the period of time for which the audit is to be conducted, thecity council has filed information designating the location of the UrbanRedevelopment Area as required under G.S. 18B‑309(a) and has providedactual notice to permittees located in the Urban Redevelopment Area that theyare located in such an area and must abide by G.S. 18B‑309(c). Upon entryof a summary order under this subdivision, the Commission shall promptly notifyall interested parties that the order has been entered and of the reasonstherefore. The order will remain in effect until it is modified or vacated bythe Commission. The permittee may, within 30 days after receipt of notice ofthe order, make written request to the Commission for a hearing on the matter.If a hearing is requested, after compliance with the provisions of Chapter 150Bof the General Statutes, the Commission shall issue an order to affirm,reverse, or modify its previous action.

(3)        Notwithstanding G.S.18B‑906, the Commission shall revoke a permit issued by it if, aftercomplying with the provisions of Chapter 150B of the General Statutes andwithout a finding of mitigating evidence or circumstances, it finds evidencethat the permittee or the permittee's employee has been found responsible by acourt of competent jurisdiction or the Commission for two or more violations onseparate dates of knowingly allowing a violation of the gambling, disorderlyconduct, prostitution, controlled substance, or felony criminal counterfeittrademark laws as those offenses are prohibited pursuant to G.S. 18B‑1005(a)(2),(a)(3), or (b), G.S. 18B‑1005.1, or G.S. 80‑11.1(b)(2) or (3), at asingle ABC‑licensed premises within a 12‑month period. Thepermittee and the owner of the property have the responsibility to monitor theconduct on the licensed premises pursuant to G.S. 18B‑1005(b) and G.S. 19‑1.Revocation of permits pursuant to this subdivision shall only apply to thepermits issued to the location where the violations occurred.

(f)         Local GovernmentObjections. – The governing body of a city or county may designate an officialof the city or county, by name or by position, to make recommendationsconcerning the suitability of a person or of a location for an ABC permit. Thegoverning body of a city or county shall notify the Commission of an officialdesignated under this subsection. An official designated under this subsectionshall be allowed to testify at a contested case hearing in which thesuitability of a person or of a location for an ABC permit is an issue withoutfurther qualification or authorization.

(g)        Nothing in thisChapter shall be deemed to preempt local governments from regulating thelocation or operation of adult establishments or other sexually orientedbusinesses to the extent consistent with the constitutional protection affordedfree speech, or from requiring any additional fee for licensing as permittedunder G.S. 160A‑181.1(c). (1939, c. 158, s. 514; 1943, c. 400, s. 6; 1949, c.974, s. 14; 1953, c. 1207, ss. 2‑4; 1957, c. 1440; 1963, c. 426, ss. 4,5; 1971, c. 872, s. 1; 1981, c. 412, s. 2; c. 747, s. 58; 1989, c. 800, ss. 9,10; 1991, c. 459, s. 4; 1993, c. 415, s. 12; 1998‑46, s. 6; 1999‑322,s. 2; 2001‑515, s. 3(b); 2005‑392, s. 4.)