Good Cause: N.J.S.A. 33:01-12.39 which requires the Division of Alcoholic Beverages' approval for the renewal of a Class C license if that license has not been actively used for the preceding two years has only prospective application. Decision: 2 N.J.A.R. 360; Applicants demonstrated good cause for renewal of their license where they moved as expeditiously as possible through all phases of the application process and throughout that period repeatedly petitioned the local issuing authority to amend a distance ordinance which prevented the active loss of the license. Decision: 2 N.J.A.R. 360; Proof of good faith efforts to activate a liquor license and the establishment of a record which permitted a conclusion that activation by someone else would be just as difficult supports a determination that good cause exists for the removal of the license. Decision: 6 N.J.A.R. 278; While recognizing that pursuant to N.J.S.A. 33:1-12.39, good cause for the renewal of a liquor license, will be evaluated on the particular facts of a case, the Director has established standards to determine the existence of good cause. Decision: 9 N.J.A.R. 225; In establishing good cause for the renewal of a liquor license pursuant to N.J.S.A. 33:1-12.39, a petitioner must not only demonstrate efforts to activate the license but also show a realistic prognosis as to when it expects the license to be actively used as well. Decision: 9 N.J.A.R. 215; If a licensee is deprived of the use of a plenary retail consumption license because of fire, eminent domain or casualty, a standard of "good faith effort to resume active use" will be applied; in all other cases, good cause is required for renewal. Decision: 9 N.J.A.R. 215

Good Faith: If a licensee is deprived of the use of a plenary retail consumption license because of fire, eminent domain or casualty, a standard of "good faith effort to resume active use" will be applied; in all other cases, good cause is required for renewal. Decision: 9 N.J.A.R. 215

Hotel/Motel Exception: Where a hotel complex meets all the requirements of N.J.S.A. 33:1-12.20 and has been encouraged by local officials, those officials may not subsequently impose an unwritten policy which would require the hotel's developers to purchase an ex- isting license rather than apply for a new one. Decision: 9 N.J.A.R. 286; While the issuance of a license under the hotel/ motel exception of N.J.S.A. 33:1-12.20 is permissive, a local issuing authority must exercise its discretion reasonably. Decision: 9 N.J.A.R. 286

Investigating Agents: Minor inconsistencies in the testimony of investigating agents does not destroy their credibility. Decision: 9 N.J.A.R. 349; An agent's observations, along with the natural and probable inferences to be drawn therefrom, were sufficient on which to base a finding of guilt. Decision: 11 N.J.A.R. 478

Lewd Behavior: The fact that patrons of a licensed liquor establishment were advised of the type of dancing which went on inside the establishment does not take the dancing out of the context of the lewd. Decision: 6 N.J.A.R. 221; Providing investigative reports to a licensee constitutes appropriate discovery in a case involving charges of permitting lewd dancing. Decision: 9 N.J.A.R. 349

License: A municipality's revocation of a plenary retail consumption license is not arbitrary or capricious where evidence demonstrates that the continuance of the licensed premises in its present location would constitute a public nuisance since licensee is responsible for conditions inside and outside the premises caused by the licensee's patrons. Decision: 2 N.J.A.R. 238; The Division of Alcoholic Beverage Control is without authority to prevent the transfer of a person-to-person liquor license which may or may not be the only asset of a corporation owing an unliquidated debt to an objector. Decision: 4 N.J.A.R. 197; A liquor license in and of itself is not properly subject to attachment or lien. Decision: 4 N.J.A.R. 197; Since an applicant always bears the burden of establishing fitness for licensure, the fact that he had never been convicted of a crime involving moral turpitude may be found to be insufficient to demonstrate suitability for licensure. Decision: 9 N.J.A.R. 078; An applicant always bears the burden of proof â with respect to establishing fitness for licensure; lack of an arrest record and meeting the legal age limit do not establish a "threshold of lieensure" but merely indicate that an applicant is not statutorily disqualified from licensure. Decision: 10 N.J.A.R. 001; Because of the presence of legalized gambling in Atlantic City, the Director must be particularly careful in exercising his supervision and control in determining whether the public good requires the issuance of a license. Decision: 10 N.J.A.R. 001; In reviewing applications for a special concessionaire permit, the Director must, in exercising his extensive powers of supervision and control, determine if the public good requires the issuance of a license. Decision: 10 N.J.A.R. 001; Failure to maintain the required possessory interest in potentially licensed premises will result in a denial of a license application. Decision: 10 N.J.A.R. 001

License--Conditions: A renewal of a" plenary retail consumption license conditioned on a restriction of service to patrons seated at tables is a reasonable one since evidence supported a need to avoid overcrowding on the licensed premises. Decision: 1 N.J.A.R. 284; While a local licensing authority may choose not to renew a liquor license, it may not grant a license under conditions which could not reasonably be satisfied. Decision: 1 N.J.A.R. 284; Where a local licensing authority, as a condition for license renewal, requires that alcoholic beverages be served only in connection with the operation of a restaurant and uncontradicted testimony established that the licensee's present location and building are not suitable for a restaurant, such a condition is unreasonable and invalid. Decision: 1 N.J.A.R. 284; A renewal of a plenary retail consumption license conditioned on a ban of "rock music" at the licensed premises is unreasonable and thus invalid since no attempt was made to limit such a prohibi- tion to definable terms. Decision: 1 N.J.A.R. 284; The approval by a local issuing authority of a liquor license transfer is not subject to local zoning board approval where a license is transferred with a special condition attached that should the premises be used as a discotheque, zoning board approval would have to be obtained. Decision: 9 N.J.A.R. 319; Failure to submit special conditions for approval to the Director of ABC prior to the issuance of a license is a mere technicality and, when timely raised, may be considered on the merits, nunc pro tunc. Decision: 9 N.J.A.R. 319

License--Distance Requirement: Where a local ordinance prescribed that no plenary retail consumption license should be located within 500 feet of an already existing license, that distance should be measured, not in a straight line across a highway, but in the normal way that a pedestrian would lawfully walk. Decision: 2 N.J.A.R. 218; A municipality must apply an ordinance in effect at the time it makes its decision; thus a borough council was correct in denying an application and request for a hearing on a transfer of a plenary retail consumption license based on the borough's distance ordinance. Decision: 3 N.J.A.R. 357; Where a proposed transfer would not violate a municipal distance requirement, the denial of the transfer is not justifiable based on the municipality's concern over the concentration of such licenses in one area. Decision: 4 N.J.A.R. 153; ALJ concludes that licensing authority acts unreasonably when it denies a place-to-place transfer of liquor license where, although proposed site meets the 200 foot distance requirement from the nearest church, licensing authority places too great an emphasis on objection of nearby churches and thus denies license. Agency rejects on grounds that ALJ substitutes his judgment on facts for that of local issuing authority. Decision: 7 N.J.A.R. 029

License--Inactive: Doing all a reasonable licensee could have done for renewal will not justify the renewal of an inactive license; good cause for renewal must be established. Decision: 9 N.J.A.R. 225; In determining whether to authorize a multi-term inactive license, a dominant emphasis must be placed upon the realistic prognosis as to when the license will be activated; in light of such a standard, all prior petitions and special rulings must be reviewed. Decision: 9 N.J.A.R. 225; Where a petitioner demonstrates that a plenary retail consumption license will be activated before the end of the current term and that it had assumed, albeit incorrectly, that its previous annual filings with the municipality had preserved its license, the Director authorized renewal of the current license, pursuant to N.J.S.A. 33:1-12.39 Decision: 9 N.J.A.R. 215

License --Renewal: N.J.S.A. 33:01-12.39 which requires the Division of Alcoholic Beverage's approval for the renewal of a Class C license if that license has not been actively used for the preceding two years has only prospective application. Decision: 2 N.J.A.R. 360; Applicants demonstrated good cause for renewal of their license where they moved as expeditiously as possible through all phases of the application process and throughout that period repeatedly petitioned the local issuing authority to amend a distance ordinance which prevented the active loss of the license. Decision: 2 N.J.A.R. 457; The broad powers of the Director of the Division of Alcoholic Beverage Control include the ability to issue an order rnunc pro tunc authorizing the renewal of a present liquor license. Decision: 2 N.J.A.R. 360; While recognizing that pursuant to N.J.S.A. 33:1-12.39, good cause for the renewal of a liquor license, will be evaluated on the particular facts of a case, the Director has established standards to determine the existence of good cause. Decision: 9 N.J.A.R. 225; In establishing good cause for the renewal of a liquor license pursuant to N.J.S.A. 33:1-12.39, a petitioner must not only demonstrate efforts to activate the license but also show a realistic prognosis as to when it expects the license to be actively used as well. Decision: 9 N.J.A.R. 215

License--Special Condition: Once a special condition is established before a license may be activated, that condition will only be vacated upon clear justification of imminent activation. Roselli v. Division of Alcoholic Beverage Control Decision: 9 N.J.A.R. 225

License --Transfer: Any attempted withdrawal of a consent to a person-to-person retail consumption license once it has been validly executed is prohibited. Decision: 6 N.J.A.R. 432; Once a license transfer has been executed any claim that the transfer was against the interest of creditors should be pursued in a court of law and not in an administrative proceeding seeking to set aside the transfer. Decision: 6 N.J.A.R. 432

License --Transfer--Third Party Creditor: Application for person-to-person transfer of plenary retail license was properly denied. Consent to transfer cannot be attached by a third party credit. Decision: 12 N.J.A.R. 458

Licensee's Responsibilities: A licensee's responsibility to maintain its premises included not only responsibility for its own conduct but also for conditions inside and outside the premises caused by its patrons. Decision: 2 N.J.A.R. 238; A licensee is responsible and fully accountable for the activities and violations committed by its agents. Decision: 6 N.J.A.R. 013; Revocation of a liquor license is appropriate when the president of the licensee corporation was found in possession of cocaine on the licensed premises even if the minority corporate stockholders claimed lack of knowledge of the incident since all licensees must take precautions to prevent such conduct. Decision: 6 N.J.A.R. 161; While a licensee is fully responsible for violations of its employees, its efforts to eradicate a drug problem around its premises should result in a lesser penalty. Decision: 6 N.J.A.R. 013; When a licensee does not expressly warn his employees to avoid violation of the law, he may be found to have allowed the possession of narcotic implements upon the licensed premises. Decision: 6 N.J.A.R. 221; Almost absolute strict liability is imposed upon a licensee for any prohibited activities ("Liquor Traffic Violations" or otherwise) which occur upon its licensed premises. Decision: 9 N.J.A.R. 403; Where testimony demonstrates that a licensed premises was a persistent complaint area, a licensee may be deemed to have prior notice of narcotics activities on the premises and thus had allowed, permitted or suffered the sale of narcotics in violation of N.J.A.C. 13:2-23.5(b). Decision: 9 N.J.A.R. 403; For the purpose of N.J.A.C. 13:2-23.13(a)3 and its requirement that licensees maintain a list of those working on the premises, it is immaterial whether dancers performing on the premises were in the employ of the licensee or independent contractors. Decision: 9 N.J.A.R. 349

Local Issuing Authority: Suspension of a plenary retail consumption license at a closed door session of a local issuing authority is harmless error where no denial of justice takes place and any procedural violation is cured by a subsequent de novo hearing. Decision: 9 N.J.A.R. 319; Absent a clear abuse of discretion, the penalty imposed by a local issuing authority should not be set aside. Decision: 9 N.J.A.R. 319

Mitigation: While a licensee is fully responsible for violations of its employees, its efforts to eradicate a drug problem around its premises should result in a lesser penalty. Decision: 6 N.J.A.R. 013

Nuisance: Loitering and traffic in front of a licensed premises at varying hours of the day and night, as well as, activities ranging from gambling and harassment to narcotics offenses constitute a nuisance and justify revocation of a plenary retail consumption license. Decision: 2 N.J.A.R. 238; Since a licensee's responsibility to maintain its premises includes not only responsibility for its own conduct, but also for conditions inside and outside the premises caused by its patrons, its failure to control nuisance conditions would justify revocation of its license. Decision: 2 N.J.A.R. 238; Lack of any master plan, statute or ordinance concerning itself with the geographical distribu- tion of package stores in a township will not support the denial of a license transfer based upon the township's fears of a geographical concentration of licenses. Decision: 4 N.J.A.R. 153; Where a licensee has been found to allow loud noise, fighting, vandalism of private property and littering that licensee has violated N.J.A.C. 13:2-23.6(a)2 and 3 by allowing its business to become a nuisance to adjoining property owners. Decision: 9 N.J.A.R. 319; Where testimony demonstrates that a licensed premises was a persistent complaint area, a licensee may be deemed to have prior notice of narcotics activities on the premises and thus had allowed, permitted or suffered the sale of narcotics in violation of N.J.A.C. 13:2-23.5(b). Decision: 9 N.J.A.R. 403

Penalty: Where unlawful situations involving liquor licenses exist the appropriate penalty is an indefinite suspension of the license until corrective action is established. Decision: 9 N.J.A.R. 262; Director will not allow licensees to pay a monetary offer for any part of a license suspension where the evidence of the violations is overwhelming and the licensee had not, despite the evidence, settled the case before a hearing. Decision: 9 N.J.A.R. 303; License suspension of 310 days imposed where licensee was found to have allowed lewd performances, commercialized gambling, offering unlimited drinks at a set price and failure to keep current employee lists. Decision: 9 N.J.A.R. 303; Where a licensee is found not to be a bona fide club, the only appropriate course of action is to revoke the licensee's club license pursuant to N.J.S.A. 33:1-12(5) and N.J.A.C. 13:2-8.2 Decision: 9 N.J.A.R. 365; A six-month license suspension is justified where ample evidence exists that a licensee has permitted a variety of abuses on or about its premises. Decision: 9 N.J.A.R. 319; Absent a clear abuse of discretion, the penalty imposed by a local issuing authority should not be set aside. Decision: 9 N.J.A.R. 319; Almost absolute strict liability is imposed upon a licensee for any prohibited activities ("Liquor Traffic Violations" or otherwise) which occur upon its licensed premises. Decision: 9 N.J.A.R. 403

Primary Source: "Primary source" and "brand registration" regulations serve the purpose of identifying licensees subject to taxation, provide a degree of stability within the market place and promote interbrand competition. Decision: 4 N.J.A.R. 294; Where "primary source" and "brand registration" regulations have a rational relationship to the purpose intended they are valid. Decision: 4 N.J.A.R. 294

Procedural Irregularity: Suspension of a plenary retail consumption license at a closed door session of a local issuing authority is harmless error where no denial of justice takes place and any procedural violation is cured by a subsequent de novo hearing. Decision: 9 N.J.A.R. 319

Regulations: The validity of a regulation may not be attacked based upon a lack of pre-adoption "hearings" where ample comment time had been provided for in the adoption process. Decision: 9 N.J.A.R. 349; One challenging the validity of a regulation always bears the burden of proof. Decision: 9 N.J.A.R. 349

Rehabilitation Employment Permit: Individuals convicted of a crime involving moral turpitude may be employed in a licensed liquor establishment provided that employment is not contrary to the public interest. Decision: 1 N.J.A.R. 365

Sale to Intoxicated Person: Where a licensee is charged with the sale of an alcoholic beverage to an actually or apparently intoxicated person, the applicable standard for review was whether a reasonable mind might view external characteristics as indications of intoxication; to accept an argument that the individual's conduct was not a deviation from his normal behavior would require aninvestigating agent to know the individual idiosyncrasies of each drinker. Decision: 2 N.J.A.R. 380; Where conduct observed by a licensee's employees is insufficient to give rise to a conclusion by a reasonable mind that a patron's behavior departed from the norm, the licensee is not guilty of serving alcohol to an apparently intoxicated person. Decision: 5 N.J.A.R. 141

Sale to Underage Person: There was sufficient evidence that the licensee permitted the sale of alcoholic beverages to a person under the legal age, based on agent's observations from outside the premises. Decision: 11 N.J.A.R. 478

Special Condition: The approval by a local issuing authority of a liquor license transfer is not subject to local zoning board approval where a license is transferred with a special condition attached that should the premises be used as a discotheque, zoning board approval would have to be obtained. Decision: 9 N.J.A.R. 382; Failure to submit special conditions for approval to the Director of ABC prior to the issuance of a license is a mere technicality and, when timely raised, may be considered on the merits, nunc pro tunc. Decision: 9 N.J.A.R. 382

Stay: The denial of a stay of an administrative proceeding pending the outcome of a criminal proceeding does not violate an individual's due process rights. Decision: 6 N.J.A.R. 221

Successor-In-Interest: A successor-in-interest to the rights of privileges of a brand, product or label is, as far as continued distribution to wholesalers in the State, bound as a supplier to the authorizations made by its predecessor. Decision: 4 N.J.A.R. 248

True Books: A charge of failing to maintain true books of account may be found to be established where there has been a commingling of business funds from outside sources and documents have been prepared to falsify the source of funds for the original business venture. Decision: 9 N.J.A.R. 262

Undisclosed Interest: An undisclosed interest in a liquor license may Interest be found to exist where the husband of the named licensee negotiated for the purchase of the license; it was the husband to whom all business questions were related and who was identified as the manager of the business. Decision: 9 N.J.A.R. 262

Unliquidated Debt: Division of Alcoholic Beverage Control is without authority to prevent a person-to-person liquor license which may or may not be the only asset of a corporation owing an unliquidated debt to an objector. Decision: 4 N.J.A.R. 197

Video Machines: Exceptions to the video machine ban of N.J.A.C. 13:2-23.7(a)4 are issued directly to the manufacturer and require that a copy of the exception be maintained on the licensed premises and that the Division be notified within 48 hours of a machine's placement. Decision: 9 N.J.A.R. 297; A video machine may be easily utilized for or adapted to gambling where the functions of the machine include the ability to insert an unlimited number of coins to build up "credits," to recognize winning play by showing accumulated "credits" which stay displayed and the ability to erase quickly (i.e., pay off) the credits by utilizing a rapid credit-elimination device; as such the machine may not be placed upon a licensed premises pursuant to N.J.A.C. 13:2-23.7(a)4. Decision: 9 N.J.A.R. 297; Video machines simulating gaming operations which can be easily utilized for or adapted to actual gambling cannot be placed upon liquor licensed premises. Decision: 9 N.J.A.R. 297

Wholesalers: N.J.S.A. 33:1-93.6, which prohibits discrimination in sales of alcoholic beverages to wholesalers, was found to be constitutional since it relates reasonably to the State's legitimate interest in preventing wholesaler monopolies and any con- stitutional contract clause rights were outweighed by the legitimate legislative purpose of the statute. Decision: 9 N.J.A.R. 250

Zoning Approval: The approval by a local issuing authority of a liquor license transfer is not subject to local zoning board approval where a license is transferred with a special condition attached that should the premises be used as a discotheque, zoning board approval would have to be obtained. Decision: 9 N.J.A.R. 382