Who Needs a Liquor License?
Any businessperson knows that she is required to apply for certain registrations and licenses before opening a business. A liquor license is just another form of business license though it's sometimes associated with politicians on the take, bribery and other unsavory practices. In most places, the owner needs a "premise" license and employees need "servers" licenses to operate. Specific requirements for licensing may vary from state to state, but most share the same basic concepts.
Identification
A liquor license is an authorization to produce, distribute or serve beer, wine or distilled spirits to the public. Most retail liquor licenses are controlled by states and managed by municipalities. Liquor licenses are classified---and priced according to the function of the holder (owner or employee) and the type of liquor (beer and wine, distilled spirits or both) and the venue (community event, tavern or restaurant).
History
Regulation of liquor production and consumption by government is a fairly new concept. Regulating those who serve liquor is an even newer practice. The first controllers of production were the great monasteries of the Middle Ages who, after the fall of Rome, protected the great vineyards where wine grapes were grown. Throughout the next centuries, the only regulation of wine and distilled spirits was by royal recognition or international contest to identify superior products. Tavern keepers' honesty was judged by how much they "watered" their ale.
As the Industrial Revolution changed the way people lived and worked, the calories of a lunchtime beer became less necessary and the local pub took on a more social function. The first US attempt to regulate alcohol was the Whiskey Tax of 1791, a piece of legislation that nearly started a second American Revolution. The failed 20th century experiment of Prohibition proved that the federal government could not control the consumption of alcohol but it also demonstrated that there needed to be controls put on those who handled its distribution and retail sale. Since the repeal of Prohibition in 1933, states have made alcohol service licensing rules.
Function
Liquor licenses for premise owners assure that the businessperson understands laws concerning the distribution and sale of alcoholic beverages and serves to control the number of such establishments in any one community. Licenses for employees guarantee that the servers understand the nature of the substance being served and the responsibilities placed upon them by state and local laws. Most technical schools conduct tavern owner and alcohol server courses that qualify graduates for licenses.
Considerations
Alcoholic beverages are closely regulated in the interest of public safety and licensing requirements reflect this with an emphasis on understanding alcoholism as a disease and laws concerning driving under the influence of drugs or alcohol (DUI). Municipalities grant only a finite number of premise licenses subject to criminal background vetting. In most states, though, an applicant for a server's license who has met the requirements of the application process can be denied only for criminal activity concerning alcohol (like DUI) or conduct of alcohol-related business (like serving minors).
Expert Insight
Liquor license processes are usually controlled by local ordinances, which may be confusing. Most processes will include a public hearing meeting by a committee or board for each application. If there is any question concerning the process (or any history of corruption in the municipality's liquor license process) an experienced business lawyer is your best resource. A legal representative's presence at hearings and meetings will help clear up any questions quickly.
Tags: distilled spirits, wine distilled, wine distilled spirits, beer wine, beer wine distilled