Estimated read time: 1-2 minutes
This archived news story is available only for your personal, non-commercial use. Information in the story may be outdated or superseded by additional information. Reading or replaying the story in its archived form does not constitute a republication of the story.
SALT LAKE CITY — State alcohol regulators are grappling with the first applications under a new law that allows liquor licenses to be bought and sold on the open market.
David Gladwell, Utah Department of Alcoholic Beverage Control Commission chairman, said there is still some confusion over the law that took effect July 1.
"We're still kind of working out the bugs a little bit," Gladwell said at Tuesday's commission meeting.
Utah law previously prohibited a liquor license holder from selling the permit to another person or business. Licenses have no monetary value and had to be turned in to the commission to be reallocated.
Under the new law, the commission must approve qualified license sales. The license could be used at a new location but must remain in the same county. A new permit holder must open for business within 30 days to prevent people from holding licenses to drive up the value.
The alcohol control department received at least one request to transfer a license, but the applicants aren't sure how to deal with the requirements. The commission suggested the applicants hire an attorney to guide them.
Nina McDermott, DABC director of compliance and licensing enforcement, said she's walking restaurant owners through the process, but ultimately it's up to them to understand the law.
"We're continuing to try and navigate the waters," McDermott said, adding that she's compiling a list of questions that come up.
The commission will likely have to write some rules to govern the process, she said.
