32B-8d-103.  Commission’s power to issue a sublicense.

(1)  Before a person as a sublicensee may store, sell, offer for sale, furnish, or allow the consumption of an alcoholic product on sublicensed premises, the person shall first obtain a sublicense from the commission in accordance with:

Terms Used In Utah Code 32B-8d-103

  • Arena: means an enclosed building:
(a) that is managed by:
(i) the same person who owns the enclosed building;
(ii) a person who has a majority interest in each person who owns or manages a space in the enclosed building; or
(iii) a person who has authority to direct or exercise control over the management or policy of each person who owns or manages a space in the enclosed building;
(b) that operates as a venue; and
(c) that has an occupancy capacity of at least 12,500. See Utah Code 32B-1-102
  • Commission: means the Alcoholic Beverage Services Commission created in Section 32B-2-201. See Utah Code 32B-1-102
  • Department: means the Department of Alcoholic Beverage Services created in Section 32B-2-203. See Utah Code 32B-1-102
  • Furnish: includes to:
    (i) serve;
    (ii) deliver; or
    (iii) otherwise make available. See Utah Code 32B-1-102
  • Hotel license: means a license issued in accordance with Chapter 5, Retail License Act, and Chapter 8b, Hotel License Act. See Utah Code 32B-1-102
  • License: means :
    (a) a retail license;
    (b) a sublicense;
    (c) a license issued in accordance with 4;
    (d) a license issued in accordance with Chapter 11, Manufacturing and Related Licenses Act;
    (e) a license issued in accordance with Chapter 12, Liquor Warehousing License Act;
    (f) a license issued in accordance with Chapter 13, Beer Wholesaling License Act; or
    (g) a license issued in accordance with Chapter 17, Liquor Transport License Act. See Utah Code 32B-1-102
  • Licensee: means a person who holds a license. See Utah Code 32B-1-102
  • Local authority: means :
    (a) for premises that are located in an unincorporated area of a county, the governing body of a county;
    (b) for premises that are located in an incorporated city, town, or metro township, the governing body of the city, town, or metro township; or
    (c) for premises that are located in a project area as defined in Section 63H-1-102 and in a project area plan adopted by the Military Installation Development Authority under Title 63H, Chapter 1, Military Installation Development Authority Act, the Military Installation Development Authority. See Utah Code 32B-1-102
  • offer for sale: means a transaction, exchange, or barter whereby, for consideration, an alcoholic product is either directly or indirectly transferred, solicited, ordered, delivered for value, or by a means or under a pretext is promised or obtained, whether done by a person as a principal, proprietor, or as staff, unless otherwise defined in this title or the rules made by the commission. See Utah Code 32B-1-102
  • Person: means :Utah Code 68-3-12.5
  • Premises: means a building, enclosure, or room used in connection with the storage, sale, furnishing, consumption, manufacture, or distribution, of an alcoholic product, unless otherwise defined in this title or rules made by the commission. See Utah Code 32B-1-102
  • Principal license: means :
    (a) a resort license;
    (b) a hotel license; or
    (c) an arena license. See Utah Code 32B-1-102
  • Resort: means the same as that term is defined in Section 32B-8-102. See Utah Code 32B-1-102
  • Retail license: means one of the following licenses issued under this title:
    (a) a full-service restaurant license;
    (b) a master full-service restaurant license;
    (c) a limited-service restaurant license;
    (d) a master limited-service restaurant license;
    (e) a bar establishment license;
    (f) an airport lounge license;
    (g) an on-premise banquet license;
    (h) an on-premise beer license;
    (i) a reception center license;
    (j) a beer-only restaurant license;
    (k) a hospitality amenity license;
    (l) a resort license;
    (m) a hotel license; or
    (n) an arena license. See Utah Code 32B-1-102
  • Store: means to place or maintain in a location an alcoholic product. See Utah Code 32B-1-102
  • Sublicense: means :
    (a) any of the following licenses issued as a subordinate license to, and contingent on the issuance of, a principal license:
    (i) a full-service restaurant license;
    (ii) a limited-service restaurant license;
    (iii) a bar establishment license;
    (iv) an on-premise banquet license;
    (v) an on-premise beer retailer license;
    (vi) a beer-only restaurant license; or
    (vii) a hospitality amenity license; or
    (b) a spa sublicense. See Utah Code 32B-1-102
    (a)  this chapter;

    (b)  Chapter 8, Resort License Act;

    (c)  Chapter 8b, Hotel License Act; and

    (d)  Chapter 8c, Arena License Act.
  • (2) 

    (a)  The commission may issue to a person a sublicense to allow the storage, sale, offering for sale, furnishing, or consumption of an alcoholic product on the premises of the sublicense, if the person is:

    (i)  a principal licensee; or

    (ii)  a person seeking a principal license, contingent on the issuance of the principal license.

    (b)  The commission may not:

    (i)  issue a sublicense that is separate from a principal license; or

    (ii)  issue a single sublicense that covers more than one outlet in or on the boundaries of the principal licensee.

    (3)  When determining the total number of licenses the commission has issued for each type of retail license, the commission may not include a sublicense as one of the retail licenses issued under the provisions applicable to that sublicense.

    (4)  If a principal licensee seeks to add a sublicense after the commission issues the person’s principal license, the principal licensee shall file with the department:

    (a)  a nonrefundable $300 application fee;

    (b)  an initial license fee of $2,250, which the commission shall refund if the commission does not issue the proposed sublicense;

    (c)  written consent of the local authority;

    (d)  a copy of:

    (i)  the principal licensee’s current business; and

    (ii)  the proposed sublicensee’s current business license, if the relevant political subdivision determines that the proposed sublicensee’s business license is separate from the principal licensee’s business license;

    (e)  evidence that the proposed sublicensed premises is entirely within the boundary of the principal license;

    (f)  a description, floor plan, and boundary map of the proposed sublicensed premises designating:

    (i)  each location at which the principal licensee proposes that an alcoholic product be stored; and

    (ii)  each location from which the principal licensee proposes that an alcoholic product be sold, furnished, or consumed;

    (g)  evidence that the principal licensee carries:

    (i)  public liability insurance in an amount and form satisfactory to the department; and

    (ii)  dramshop insurance coverage in the amount required by Section 32B-5-201 that covers the proposed sublicense;

    (h)  a signed consent form stating that the principal licensee will permit any authorized representative of the commission or department, or any law enforcement officer, to have an unrestricted right to enter the proposed sublicensed premises;

    (i)  if the principal licensee is an entity, proper verification evidencing that a person who signs the application is authorized to sign on behalf of the entity; and

    (j)  any other information the commission or department may require.

    Amended by Chapter 371, 2023 General Session