State Codes and Statutes

Statutes > California > Bpc > 24070-24082

BUSINESS AND PROFESSIONS CODE
SECTION 24070-24082



24070.  Each license is separate and distinct and is transferable
upon approval by the department from the licensee to another person
and from one premises to another premises.
   (a) All off-sale general licenses may be transferred from one
county to another county, subject to the following provisions:
   1. The number of off-sale general licenses in existence in any
county on June 1 of any year shall not be increased by more than 25
new original off-sale general licenses during the following 12-month
period, provided further that the number of new original off-sale
general licenses that may be issued in any county during any 12-month
period shall not increase by more than 10 percent the number of
off-sale general licenses in existence in such county on the June 1
with which that 12-month period began.
   2. After the department computes the number of new original
off-sale licenses that may be issued in any county during any
12-month period as provided by the foregoing paragraph, if the
department determines that the ratio established by Section 23817
will permit, during such 12-month period, additional off-sale general
licenses in any county, off-sale general licenses may be transferred
into such county in a number not to exceed by more than 10 percent
the number of off-sale general licenses in existence in such county
on the June 1 with which that 12-month period began, but in no event
to exceed 25 such transfers during that 12-month period.
   3. Under no circumstances shall the combined total number of new
original off-sale general licenses that may be issued in any county
during any 12-month period and the number of off-sale general
licenses that may be transferred into such county during that
12-month period, exceed the limitation set forth in Section 23817.
   (b) All on-sale general licenses may be transferred from one
county to another county, subject to the following provisions:
   1. The number of on-sale general licenses in existence in any
county on June 1 of any year shall not be increased by more than 10
percent by the issuance of new original on-sale general licenses, but
in no event to exceed 25 such licenses, during any 12-month period.
The number of on-sale general licenses shall be limited by the
provisions of Section 23816.
   2. After the department computes the number of new original
on-sale licenses that may be issued in any county during any 12-month
period as provided by the foregoing paragraph, if the department
determines that the ratio established by Section 23816 will permit,
during such 12-month period, additional on-sale general licenses in
any county, on-sale general licenses may be transferred into such
county in a number not to exceed by more than 10 percent the number
of on-sale general licenses in existence in such county on the June
with which that 12-month period began, but in no event to exceed 25
such transfers during that 12-month period.
   3. Under no circumstances shall the combined total number of new
original on-sale general licenses that may be issued in any county
during any 12-month period and the number of on-sale general licenses
that may be transferred into such county during that 12-month
period, exceed the limitation set forth in Section 23816.
   4. The transfer fee for transfer of an on-sale general license
from one county to another county shall be the same as the fee
prescribed in subdivision (d) of Section 24072 for transfer of an
off-sale general license from one county to another county.
   (c) No retail license subject to the provisions of Section 23816
or 23817 issued as a new original license on or after June 1, 1961,
and no off-sale general license or on-sale general license
transferred from one county to another county on or after August 17,
1967, shall be transferable from the licensee to another person, or
if the licensee is a corporation a controlling interest in the stock
ownership of the licensee shall not be, directly or indirectly, sold,
transferred, or hypothecated unless the licensee be a corporation
the stock of which is listed on a stock exchange in this state or in
the City of New York, State of New York, or which is required by law
to file periodic reports with the Security Exchange Commission, for a
period of two years from date of issuance of the license, except as
provided in Section 24071, and except when the department determines
that the transfer is necessary to prevent undue hardship.
   (d) No off-sale general license or on-sale general license that is
transferred from one county to another county pursuant to this
section shall be transferred thereafter for a purchase price or
consideration to the transferor or from the transferee in excess of
ten thousand dollars ($10,000), except that if the off-sale general
license or on-sale general license was originally issued on or after
June 1, 1961, the purchase price or consideration to the transferor
or from the transferee shall not exceed six thousand dollars
($6,000), as provided by Section 24079.
   (e) Notwithstanding the provisions of subdivision (d) of this
section any off-sale general license or on-sale general license
transferred from one county to another county pursuant to this
section may be transferred with no restrictions as to the purchase
price or consideration to the transferor or from the transferee after
a period of five years from the date of the intercounty transfer of
the license.


24070.1.  An on-sale license issued for a bona fide public eating
place may be transferred from the licensee to another person, as
provided in Section 24070, for a bona fide public eating place or for
public premises, as defined in Section 23039. An on-sale license
issued for public premises may be transferred from the licensee to
another person, as provided in Section 24070, for public premises or
for a bona fide public eating place.



24070.2.  Notwithstanding subdivision (a) of Section 24070, any
off-sale general license issued prior to April 29, 1992, and located
within the boundaries of the United States Bureau of the Census
census tracts 234000, 234200, 234300, 234500, 234600, 234700, 234800,
234900, 235100, 235201, 235202, 236100, 236201, 236202, 236400,
231100, 231500, 231600, 231700, 231800, 231900, 232100, 232200,
232300, 232400, 232500, 232600, 232700, 232800, 237100, 237200,
237300, 237400, 237500, 237600, 237700, 237800, 237900, 238000,
238100, 238200, 238300, 238400, 240300, 240400, 241200, 241300,
600100, 600201, 600202, 600301, 600302, 600400, 602700, 602800,
602900, 603002, 228100, 228200, 228300, 228400, 228500, 228600,
228700, 228800, 228900, 229100, 229200, 229300, 229400, 239200,
239300, 239500, 239600, 239700, 239800, 242000, 242100, 242200,
242300, 242600, 242700, 243000, 243100, 535400, 240000, 240200,
240500, 240600, 240700, 240800, 240900, 241000, 241100, 241400,
532700, 532800, 532900, 533000, 534900, 535000, 535101, 535102,
535200, 535300, 535400, 541100, 541200, 541300, 541400, 541601,
541602, 541800, 542000, 542101, 542102, 542200, 542401, 542402,
542500, 542600, 542700, 542800, 542900, 543000, 543100, 543200,
543301, 543321, and 570400 located within Los Angeles County may be
transferred from that county to another county without regard to the
limitations imposed by Section 24070. Notwithstanding the fee
provisions of Section 24072, the fee for a transfer of a license
pursuant to this section shall be one hundred dollars ($100).



24070.5.  When a winegrower has failed to carry on business
actively, pursuant to a winegrower's license, for a period of one
year, such winegrower's license, without regard to when it was
originally issued, may be transferred only to a person who qualifies
as a winegrower, as defined in Sections 23013 and 23358 of this code.




24071.  The license of one spouse may be transferred to the other
spouse when the application for transfer is made prior to the entry
of a final decree of divorce, and the license of a decedent, minor
ward, incompetent person, conservatee, debtor in a bankruptcy case,
person for whose estate a receiver is appointed, or assignor for the
benefit of creditors may be transferred by or to the surviving
partners of a deceased licensee, the executor, administrator,
conservator or guardian of an estate of a licensee, the surviving
spouse of a deceased licensee in the event that the deceased licensee
leaves no estate to be administered, the trustee of a bankrupt
estate of a licensee, a receiver of the estate of a licensee, or an
assignee for the benefit of creditors of a licensee with the consent
of the assignor, or a license may be transferred by or to a receiver
appointed for a judgment debtor as provided by Section 708.630 of the
Code of Civil Procedure, or a license may be transferred to a
revocable living trust when the licensee is also the trustee, or a
license may be transferred between partners where no new partner is
being licensed, or a license may be transferred between corporations
whose outstanding shares of stock are owned by the same natural
persons, or a licensee may transfer upon compliance with Section
24073 any license to a corporation whose entire stock is owned by the
licensee, or his or her spouse, or a licensee may transfer upon
compliance with Section 24073 any license to a limited liability
company whose entire membership consists of the licensee, or his or
her spouse, or a license may be transferred from a corporation to a
person who owns, or whose spouse owns, the entire stock of the
corporation, and the fee for transfer of each license is fifty
dollars ($50). The regular transfer fee provided in Section 24072
shall be due and payable upon the subsequent transfer of 25 percent
of the stock in a corporation to which a license has been transferred
by a licensee or his or her spouse pursuant to this section, except
if the transfer of stock is from a parent to his or her child or
grandchild, in which case the fee shall be one-half of the regular
transfer fee. In no case shall a fee be charged for the transfer of
an importer's license. All money collected from the fees provided for
in this section shall be deposited in the Alcohol Beverage Control
Fund as provided in Section 25761.
   Nothing in this section shall be deemed to authorize the formation
of a limited liability company composed of only one member in
violation of subdivision (b) of Section 17050 of the Corporations
Code.



24071.1.  (a) When the ownership of 50 percent or more of the shares
of stock of a corporation, which is required to report the issuance
or transfer of those shares of stock under Section 23405, is acquired
by or transferred to a person or persons who did not hold the
ownership of 50 percent of those shares of stock on the date the
license was issued to the corporation, the license of the corporation
shall be transferred to the corporation as newly constituted. When
there is a new general partner or when the ownership of 50 percent or
more of the capital or profits of a limited partnership, which is
required to maintain a register under Section 23405.1, is acquired by
or transferred to a person or persons as general or limited partners
and who did not hold ownership of 50 percent or more of the capital
or profits of the limited partnership on the date the license was
issued to the limited partnership, the license of the limited
partnership shall be transferred to the limited partnership as newly
constituted. The fee for the transfer shall be equal to 50 percent of
the original fee for the license, except that the minimum fee shall
be one hundred dollars ($100) and the maximum fee shall be eight
hundred dollars ($800). In situations involving the multiple and
simultaneous transfer of licenses under this section, the regular
transfer fee shall only be required for one of the licenses being
transferred and the remainder of the licenses shall be transferred
for a fee of one hundred dollars ($100) each. All of the transfer
fees collected pursuant to this section shall be deposited in the
Alcohol Beverage Control Fund as provided in Section 25761. Before
the license is transferred, the department shall conduct an
investigation pursuant to the provisions of Section 23958. Any person
or persons who own 50 percent or more of the shares of stock of the
corporation or who own as limited partners 50 percent or more of the
capital or profits of the limited partnership, as the case may be,
shall have all the qualifications required of a person holding the
same type of license.
   (b) No retail license shall be transferred by a corporation or a
limited partnership under this section unless, before the filing of
the transfer application with the department, the corporation or
limited partnership initiating the transfer records in the office of
the county recorder of the county or counties in which the premises
to which the license has been issued are situated a notice of the
intended transfer, stating all of the following:
   (1) The name and address of the corporation or limited
partnership.
   (2) The name and address of the person or persons acquiring
ownership of 50 percent or more of the stock of the corporation or
capital or profits of the limited partnership.
   (3) The amount of the consideration paid for the stock or limited
partnership interests.
   (4) The kind of license or licenses intended to be transferred.
   (5) The address or addresses of the premises to which the license
or licenses have been issued.
   A copy of the notice of the intended transfer, certified by the
county recorder, shall be filed with the department together with the
transfer application.
   (c) Notwithstanding any other provision of this division to the
contrary, a corporation or limited partnership as newly constituted
by transfer under this section, is not eligible for any new credit
from any person named in Section 25509 until all delinquent payments
owed by the entity as formerly constituted, are made, nor shall any
entity retail licensee, by transferring its license under this
section, avoid the provisions of Section 25509 with regard to 42-day
or 30-day periods, percentage charges for unpaid balances, or
cash-on-delivery basis.



24071.2.  (a) When the ownership of 50 percent or more of the
membership interests in a limited liability company required to
report the issuance or transfer of memberships under Section 23405.2
is acquired by or transferred to a person or persons who did not hold
the ownership of 50 percent of the membership interests on the date
the license was issued to the limited liability company, the license
of the limited liability company shall be transferred to the limited
liability company as newly constituted. The fee for the transfer
shall be equal to 50 percent of the original fee for the license,
except that the minimum fee shall be one hundred dollars ($100) and
the maximum fee shall be eight hundred dollars ($800). In situations
involving the multiple and simultaneous transfer of licenses under
this section, the regular transfer fee shall be required for only one
of the licenses being transferred and the remainder of the licenses
shall be transferred for a fee of one hundred dollars ($100) each.
All of the transfer fees collected pursuant to this section shall be
deposited in the Alcohol Beverage Control Fund, as provided in
Section 25761. Before the license is transferred, the department
shall conduct an investigation pursuant to Section 23958. Any person
or persons who own 50 percent or more of the membership interests of
the limited liability company shall have all the qualifications
required of a person holding the same type of license.
   (b) No retail license shall be transferred by a limited liability
company under this section unless, before the filing of the transfer
application with the department, the company initiating the transfer
records, in the office of the county recorder of the county or
counties in which the premises to which the license has been issued
are situated, a notice of the intended transfer, stating all of the
following:
   (1) The name and address of the limited liability company.
   (2) The name and address of the person or persons acquiring
ownership of 50 percent or more of the membership interests of the
limited liability company.
   (3) The amount of the consideration paid for the membership
interests.
   (4) The kind of license or licenses intended to be transferred.
   (5) The address or addresses of the premises to which the license
or licenses have been issued.
   A copy of the notice of the intended transfer, certified by the
county recorder, shall be filed with the department together with the
transfer application.
   (c) Notwithstanding any other provision of this division to the
contrary, a limited liability company as newly constituted by
transfer under this section shall not be eligible for any new credit
from any person named in Section 25509 until all delinquent payments
owed by the limited liability company as formerly constituted are
made, nor shall any retail licensee, by transferring its license
under this section, avoid the provisions of Section 25509 with regard
to 42-day or 30-day periods, percentage charges for unpaid balances,
or cash-on-delivery basis.
   (d) Nothing in this section shall be deemed to authorize the
formation of a limited liability company composed of only one member
in violation of subdivision (b) of Section 17050 of the Corporations
Code.


24072.  The following transfer fees shall be charged by the
department:
   (a) The fee for transfer of a license other than a retail license
from a licensee to another person is a fee equal to 70 percent of the
annual fee for the license, except as provided in Section 24071.
Section 23322 shall not apply to this transfer fee.
   (b) The fee for transfer of a retail license from a licensee to
another person is a fee equal to 50 percent of the original fee for
the license, but not to exceed one thousand two hundred fifty dollars
($1,250), or if no original fee is provided for by law, one hundred
dollars ($100).
   (c) Except as provided in Section 24082, the fee for transfer of a
license from one premises to another premises is one hundred dollars
($100).
   (d) Notwithstanding the other fee provisions of this section, the
fee for a transfer of an off-sale general license from one county to
another county shall be six thousand dollars ($6,000).
   (e) The fee for transfer of an on-sale or off-sale retail license
to include the mother, father, son, or daughter of a licensee, when
no consideration is given for such transfer, shall be one-half of the
regular fee for transfer of a license from a licensee to another
person, as provided by this section.
   All money collected from the fees provided for in this section
shall be deposited in the Alcohol Beverage Control Fund as provided
in Section 25761.


24072.1.  An on-sale license issued for a bona fide public eating
place may be transferred from the premises for which issued to other
premises, as provided in Section 24072, for a bona fide public eating
place or for public premises, as defined in Section 23039. An
on-sale license issued for public premises may be transferred from
the premises for which issued to other premises, as provided in
Section 24072, for public premises or for a bona fide public eating
place.


24072.2.  Any person who has an on-sale license issued for a bona
fide public eating place may exchange his or her license for a
similar license for public premises, as defined in Section 23039, and
any person who has such a license issued for public premises may
exchange his or her license for a similar license for a bona fide
public eating place. The exchange may be made at the time of renewal
of the license sought to be exchanged, and not more than once between
renewal periods, upon the approval of the department, the payment of
an exchange fee of one hundred dollars ($100), and compliance with
the provisions of this division relating to the issuance of an
original license. All money collected from the fee provided for in
this section shall be deposited directly in the Alcohol Beverage
Control Fund as provided in Section 25761.



24072.5.  Any person who has any on-sale general license may
exchange his or her license for a special on-sale general license and
any person who has a special on-sale general license may exchange
his or her license for an on-sale general license. The exchange may
be made at any time upon the approval of the department, the payment
of an exchange fee of one hundred dollars ($100), and compliance with
the provisions of this division relating to the issuance of an
original license. However, Sections 23985, 23985.5, and 23986 shall
not apply to the exchange of an on-sale general license for a special
on-sale general license. All money collected from the fee provided
for in this section shall be deposited in the Alcohol Beverage
Control Fund as provided in Section 25761.



24073.  No retail license limited in numbers, off-sale beer and wine
license, on-sale beer and wine license, on-sale beer and wine public
premises license, on-sale beer license, on-sale beer public premises
license, or on-sale general license for seasonal business, shall be
transferred unless before the filing of the transfer application with
the department the licensee or the intended transferee records in
the office of the county recorder of the county or counties in which
the premises to which the license has been issued are situated a
notice of the intended transfer, stating all of the following:
   (a) The name and address of the licensee.
   (b) The name and address of the intended transferee.
   (c) The kind of license or licenses intended to be transferred.
   (d) The address or addresses of the premises to which the license
or licenses have been issued.
   (e) An agreement between the parties to the transfer that the
consideration for the transfer of the business and license or
licenses, if any there be, is to be paid only after the transfer is
approved by the department.
   (f) The place where the purchase price or consideration for the
transfer of the business and license or licenses is to be paid, the
amount of such purchase price or consideration, and a description of
the entire consideration, including a designation of cash, checks,
promissory notes, and tangible and intangible property, and the
amount of each thereof.
   (g) The name and address of the escrow holder referred to in
Section 24074, or of the guarantor referred to in Section 24074.4, as
the case may be.
   A copy of the notice of intended transfer, certified by the county
recorder, shall be filed with the department together with a
transfer application.



24074.  Before the filing of such a transfer application with the
department, if the intended transfer of the business or license
involves a purchase price or consideration, the licensee and the
intended transferee shall establish an escrow with some person,
corporation, or association not a party to the transfer acting as
escrow holder, and the intended transferee shall deposit with the
escrow holder the full amount of the purchase price or consideration.
The transfer application shall be accompanied by a description of
the entire consideration. The description shall include a designation
of cash, checks, promissory notes, and tangible and intangible
property, and the amount of each thereof. The licensee and intended
transferee shall also enter into an agreement, which agreement shall
be deposited with the escrow holder, directing the escrow holder,
after the requirements for transfer as provided in Section 24049 are
satisfied, to pay out of the purchase price or consideration, whether
the consideration takes the form of cash, checks, promissory notes,
or tangible or intangible property, the claims of the bona fide
creditors of the licensee who file their claims with the escrow
holder before the escrow holder is notified by the department of its
approval of the transfer of the license or if the purchase price or
consideration is not sufficient to pay the claims in full, to
distribute the consideration as follows:
   First, to the United States for claims based on income or
withholding taxes; and thereafter for claims based on any tax other
than specified in Section 24049.
   Second, to the payment of claims for wages, salaries, or fringe
benefits of employees of the seller or transferor earned or accruing
prior to the sale, transfer, or opening of an escrow for the sale
thereof.
   Third, to the payment of claims of secured creditors to the extent
of the proceeds which arise from the sale of the security.
   Fourth, to the payment of claims on mechanics' liens.
   Fifth, to the payment of escrow fees and the payment of claims for
prevailing brokerage fees for services rendered and claims for
reasonable attorney's fees for services rendered.
   Sixth, to the payment of claims for goods sold and delivered to
the transferor for resale at his licensed premises and the payment of
claims for services rendered, performed, or supplied in connection
with the operation of the licensed business, and to the payment of
claims of a landlord, to the extent of proceeds on past due rent.
   Seventh, to the payment of other claims which have been reduced to
court-ordered judgments, including claims for court-ordered support
of a minor child.
   Eighth, to the payment of all other claims. The payment of these
claims if sufficient assets are not available for the payment of the
claim in full shall be paid pro rata.
   If the transferor licensee disputes any claim, the escrow holder
shall notify the claimant, and the amount or pro rata amount thereof
shall be retained by the escrow holder for a period of 25 days, and
if not attached shall be paid to the transferor licensee. The
agreement shall also provide that the escrow holder shall make the
payment or distribution within a reasonable time after the completion
of the transfer of the license.



24074.1.  Any person desiring to act as an escrow holder under
Section 24074 shall:
   1. Comply with all the applicable provisions of Chapter 1
(commencing with Section 17000) of Division 6 of the Financial Code.
   2. Not more than 10 days after receiving a claim from a creditor,
said escrow holder shall acknowledge receipt of each claim; and
   3. Not more than 10 days after the license has been transferred
and prior to the distribution of the assets held by said escrow
holder he shall advise each creditor who filed a claim against the
escrow whether or not there are sufficient assets in the escrow to
pay all creditors in full. If the assets in the escrow are sufficient
to pay all creditors in full, said escrow holder shall also advise
each creditor of the date on or before which payment will be made. If
there are not sufficient assets to pay all creditors in full, he
shall then advise each creditor who filed a claim of the following:
(a) the total assets placed in escrow with him and the nature of each
asset; (b) the name of each creditor who filed a claim against the
escrow and the amount of said claim; (c) the amount he proposes to
pay each creditor; and (d) the date on or before which said amount
will be paid to the creditors.



24074.2.  Any person desiring to act as an escrow holder under
Section 24074 shall not release any funds in the escrow in exchange
for a promissory note or in exchange for any other consideration of
less value to the creditors than the funds exchanged.




24074.3.  (a) Within 30 days after the filing of an application for
transfer of a license referred to in Section 24073, the intended
transferee shall file with the department a statement executed under
penalty of perjury that the purchase price or consideration as set
forth in the escrow agreement required by Section 24074 has been
deposited with the escrowholder. At the time such statement is filed
with the department copies thereof shall be submitted by the intended
transferee to the transferor and the escrowholder concerned. The
30-day period specified by this section may be extended by the
department for good cause; however, the license shall not be
transferred until the statement required by this section is received
by the department.
   (b) This section shall not apply in the case of transfers for
which a guaranty of payment has been filed pursuant to Section
24074.4.



24074.4.  (a) Notwithstanding the provisions of Section 24074, no
escrow shall be required to be established in connection with the
transfer of a business or license if a corporate person files with
the department a guaranty of full, prompt, and faithful payment of
all claims of bona fide creditors of the licensee, and such guaranty
is acceptable to the creditors. The department shall not transfer the
license until the guarantor has paid all the creditors' claims in
full and the guarantor has filed with the department a statement
executed under penalty of perjury that all conditions of the transfer
have been satisfied. Payment of such claims by the guarantor shall
be made in United States currency or by certified check in a manner
acceptable to the creditors.
   (b) This section shall apply only in the case of a transfer
involving an off-sale beer and wine license, and in which the
guarantor corporation has a net worth on a consolidated basis,
according to its most recent audited financial statement, of not less
than five million dollars ($5,000,000).



24075.  The provisions of Sections 24073 and 24074 do not apply to
any transfer of a license made by an executor, administrator,
guardian, conservator, trustee, receiver, except a receiver appointed
under the provisions of Section 708.630 of the Code of Civil
Procedure, or other person acting in the legal or proper discharge of
official duty, or in the discharge of any trust imposed upon the
person by law, nor to any transfer or assignment made for the benefit
of creditors, nor to a surviving spouse or fiduciary or other person
within the meaning of Section 24071.



24076.  No licensee shall enter into any agreement wherein he
pledges the transfer of his license as security for a loan or as
security for the fulfillment of any agreement. No license shall be
transferred if the transfer is to satisfy a loan or to fulfill an
agreement entered into more than 90 days preceding the date on which
the transfer application is filed, or to gain or establish a
preference to or for any creditor of the transferor, except as
provided by Section 24074, or to defraud or injure any creditor of
the transferor.


24077.  Notwithstanding any other provision of law, no license shall
be transferred into any county having a population of 35,000 or
less.


24078.  A special onsale general license may be transferred from
person to person or from premises to premises, as provided in this
article, but only for the operation of the licensed premises as
required by Section 23399.2.


24079.  (a) The purchase price or consideration that may be paid by
a transferee or received by a transferor of an on-sale general
license or off-sale general license originally issued on or after
June 1, 1961, shall not exceed six thousand dollars ($6,000), except
that after a period of five years from the date of the original
issuance of the license there shall be no restriction as to the
purchase price or consideration that may be paid by a transferee or
received by a transferor.
   (b) Notwithstanding subdivision (a), any original on-sale general
license or any original off-sale general license for which a fee in
excess of twelve thousand dollars ($12,000) has been paid pursuant to
subdivision (b) of Section 23954.5 may not be transferred for one
year following its initial issuance. After one year, this license may
be transferred and there shall be no restriction as to the purchase
price or consideration that may be paid by a transferee or received
by a transferor.
   (c) Any original on-sale general license or any original off-sale
general license for which an original fee of twelve thousand dollars
($12,000) was paid shall not be transferred for a purchase price in
excess of twelve thousand dollars ($12,000) for two years following
its initial issuance. After two years, this license may be
transferred and there shall be no restriction as to the purchase
price or consideration that may be paid by a transferee or received
by a transferor.



24080.  Every application filed by the intended transferee with the
department for the transfer of an onsale or offsale general license
shall indicate whether the consideration, if any, to be paid to the
transferor includes payment for any or all of the following:
   (a) Inventory.
   (b) Fixtures.
   (c) Transfer of the license.
   The actual amount of the consideration, if any, to be paid for
items (a), (b) and (c) is to be indicated in the application.



24081.  (a) Notwithstanding any other provision of law in this
division including, but not limited to, requirements relating to the
issuance or transfer of a license, any licensee whose premises, for
which a license, other than an off-sale license, has been issued,
have been destroyed as a result of fire or any act of God or other
force beyond the control of the licensee may carry on his or her
business for a period of not more than 180 days at a location within
500 feet of the premises for which the license was issued and while
the premises are being repaired or rebuilt and he or she shall be
entitled to carry on his or her business under his or her existing
license upon the former premises when they have been repaired or
rebuilt.
   (b) Notwithstanding any other provision of law in this division,
including, but not limited to, requirements relating to the issuance
or transfer of a license, any licensee whose premises, for which an
off-sale license has been issued, have been destroyed as a result of
fire or any act of God or other force beyond the control of the
licensee, may carry on his or her business for a period of not more
than six months at a location within 500 feet of the premises for
which the license was issued and while the premises are being
repaired or rebuilt and he or she shall be entitled to carry on his
or her business under his or her existing license upon the former
premises when they have been repaired or rebuilt.



24082.  The license of a licensee whose licensed premises have been
destroyed as a result of fire or act of God or have been taken under
the power of eminent domain, may be transferred to another location
within the same county without payment of the fee for transfer of a
license from one premises to another premises. Within 18 months of
the fire or act of God, if the destroyed premises have been
reconstructed and the license has not been transferred to another
person, the license may be transferred back to the location of the
destroyed premises without payment of the fee for transfer of a
license from one premises to another premises.


State Codes and Statutes

Statutes > California > Bpc > 24070-24082

BUSINESS AND PROFESSIONS CODE
SECTION 24070-24082



24070.  Each license is separate and distinct and is transferable
upon approval by the department from the licensee to another person
and from one premises to another premises.
   (a) All off-sale general licenses may be transferred from one
county to another county, subject to the following provisions:
   1. The number of off-sale general licenses in existence in any
county on June 1 of any year shall not be increased by more than 25
new original off-sale general licenses during the following 12-month
period, provided further that the number of new original off-sale
general licenses that may be issued in any county during any 12-month
period shall not increase by more than 10 percent the number of
off-sale general licenses in existence in such county on the June 1
with which that 12-month period began.
   2. After the department computes the number of new original
off-sale licenses that may be issued in any county during any
12-month period as provided by the foregoing paragraph, if the
department determines that the ratio established by Section 23817
will permit, during such 12-month period, additional off-sale general
licenses in any county, off-sale general licenses may be transferred
into such county in a number not to exceed by more than 10 percent
the number of off-sale general licenses in existence in such county
on the June 1 with which that 12-month period began, but in no event
to exceed 25 such transfers during that 12-month period.
   3. Under no circumstances shall the combined total number of new
original off-sale general licenses that may be issued in any county
during any 12-month period and the number of off-sale general
licenses that may be transferred into such county during that
12-month period, exceed the limitation set forth in Section 23817.
   (b) All on-sale general licenses may be transferred from one
county to another county, subject to the following provisions:
   1. The number of on-sale general licenses in existence in any
county on June 1 of any year shall not be increased by more than 10
percent by the issuance of new original on-sale general licenses, but
in no event to exceed 25 such licenses, during any 12-month period.
The number of on-sale general licenses shall be limited by the
provisions of Section 23816.
   2. After the department computes the number of new original
on-sale licenses that may be issued in any county during any 12-month
period as provided by the foregoing paragraph, if the department
determines that the ratio established by Section 23816 will permit,
during such 12-month period, additional on-sale general licenses in
any county, on-sale general licenses may be transferred into such
county in a number not to exceed by more than 10 percent the number
of on-sale general licenses in existence in such county on the June
with which that 12-month period began, but in no event to exceed 25
such transfers during that 12-month period.
   3. Under no circumstances shall the combined total number of new
original on-sale general licenses that may be issued in any county
during any 12-month period and the number of on-sale general licenses
that may be transferred into such county during that 12-month
period, exceed the limitation set forth in Section 23816.
   4. The transfer fee for transfer of an on-sale general license
from one county to another county shall be the same as the fee
prescribed in subdivision (d) of Section 24072 for transfer of an
off-sale general license from one county to another county.
   (c) No retail license subject to the provisions of Section 23816
or 23817 issued as a new original license on or after June 1, 1961,
and no off-sale general license or on-sale general license
transferred from one county to another county on or after August 17,
1967, shall be transferable from the licensee to another person, or
if the licensee is a corporation a controlling interest in the stock
ownership of the licensee shall not be, directly or indirectly, sold,
transferred, or hypothecated unless the licensee be a corporation
the stock of which is listed on a stock exchange in this state or in
the City of New York, State of New York, or which is required by law
to file periodic reports with the Security Exchange Commission, for a
period of two years from date of issuance of the license, except as
provided in Section 24071, and except when the department determines
that the transfer is necessary to prevent undue hardship.
   (d) No off-sale general license or on-sale general license that is
transferred from one county to another county pursuant to this
section shall be transferred thereafter for a purchase price or
consideration to the transferor or from the transferee in excess of
ten thousand dollars ($10,000), except that if the off-sale general
license or on-sale general license was originally issued on or after
June 1, 1961, the purchase price or consideration to the transferor
or from the transferee shall not exceed six thousand dollars
($6,000), as provided by Section 24079.
   (e) Notwithstanding the provisions of subdivision (d) of this
section any off-sale general license or on-sale general license
transferred from one county to another county pursuant to this
section may be transferred with no restrictions as to the purchase
price or consideration to the transferor or from the transferee after
a period of five years from the date of the intercounty transfer of
the license.


24070.1.  An on-sale license issued for a bona fide public eating
place may be transferred from the licensee to another person, as
provided in Section 24070, for a bona fide public eating place or for
public premises, as defined in Section 23039. An on-sale license
issued for public premises may be transferred from the licensee to
another person, as provided in Section 24070, for public premises or
for a bona fide public eating place.



24070.2.  Notwithstanding subdivision (a) of Section 24070, any
off-sale general license issued prior to April 29, 1992, and located
within the boundaries of the United States Bureau of the Census
census tracts 234000, 234200, 234300, 234500, 234600, 234700, 234800,
234900, 235100, 235201, 235202, 236100, 236201, 236202, 236400,
231100, 231500, 231600, 231700, 231800, 231900, 232100, 232200,
232300, 232400, 232500, 232600, 232700, 232800, 237100, 237200,
237300, 237400, 237500, 237600, 237700, 237800, 237900, 238000,
238100, 238200, 238300, 238400, 240300, 240400, 241200, 241300,
600100, 600201, 600202, 600301, 600302, 600400, 602700, 602800,
602900, 603002, 228100, 228200, 228300, 228400, 228500, 228600,
228700, 228800, 228900, 229100, 229200, 229300, 229400, 239200,
239300, 239500, 239600, 239700, 239800, 242000, 242100, 242200,
242300, 242600, 242700, 243000, 243100, 535400, 240000, 240200,
240500, 240600, 240700, 240800, 240900, 241000, 241100, 241400,
532700, 532800, 532900, 533000, 534900, 535000, 535101, 535102,
535200, 535300, 535400, 541100, 541200, 541300, 541400, 541601,
541602, 541800, 542000, 542101, 542102, 542200, 542401, 542402,
542500, 542600, 542700, 542800, 542900, 543000, 543100, 543200,
543301, 543321, and 570400 located within Los Angeles County may be
transferred from that county to another county without regard to the
limitations imposed by Section 24070. Notwithstanding the fee
provisions of Section 24072, the fee for a transfer of a license
pursuant to this section shall be one hundred dollars ($100).



24070.5.  When a winegrower has failed to carry on business
actively, pursuant to a winegrower's license, for a period of one
year, such winegrower's license, without regard to when it was
originally issued, may be transferred only to a person who qualifies
as a winegrower, as defined in Sections 23013 and 23358 of this code.




24071.  The license of one spouse may be transferred to the other
spouse when the application for transfer is made prior to the entry
of a final decree of divorce, and the license of a decedent, minor
ward, incompetent person, conservatee, debtor in a bankruptcy case,
person for whose estate a receiver is appointed, or assignor for the
benefit of creditors may be transferred by or to the surviving
partners of a deceased licensee, the executor, administrator,
conservator or guardian of an estate of a licensee, the surviving
spouse of a deceased licensee in the event that the deceased licensee
leaves no estate to be administered, the trustee of a bankrupt
estate of a licensee, a receiver of the estate of a licensee, or an
assignee for the benefit of creditors of a licensee with the consent
of the assignor, or a license may be transferred by or to a receiver
appointed for a judgment debtor as provided by Section 708.630 of the
Code of Civil Procedure, or a license may be transferred to a
revocable living trust when the licensee is also the trustee, or a
license may be transferred between partners where no new partner is
being licensed, or a license may be transferred between corporations
whose outstanding shares of stock are owned by the same natural
persons, or a licensee may transfer upon compliance with Section
24073 any license to a corporation whose entire stock is owned by the
licensee, or his or her spouse, or a licensee may transfer upon
compliance with Section 24073 any license to a limited liability
company whose entire membership consists of the licensee, or his or
her spouse, or a license may be transferred from a corporation to a
person who owns, or whose spouse owns, the entire stock of the
corporation, and the fee for transfer of each license is fifty
dollars ($50). The regular transfer fee provided in Section 24072
shall be due and payable upon the subsequent transfer of 25 percent
of the stock in a corporation to which a license has been transferred
by a licensee or his or her spouse pursuant to this section, except
if the transfer of stock is from a parent to his or her child or
grandchild, in which case the fee shall be one-half of the regular
transfer fee. In no case shall a fee be charged for the transfer of
an importer's license. All money collected from the fees provided for
in this section shall be deposited in the Alcohol Beverage Control
Fund as provided in Section 25761.
   Nothing in this section shall be deemed to authorize the formation
of a limited liability company composed of only one member in
violation of subdivision (b) of Section 17050 of the Corporations
Code.



24071.1.  (a) When the ownership of 50 percent or more of the shares
of stock of a corporation, which is required to report the issuance
or transfer of those shares of stock under Section 23405, is acquired
by or transferred to a person or persons who did not hold the
ownership of 50 percent of those shares of stock on the date the
license was issued to the corporation, the license of the corporation
shall be transferred to the corporation as newly constituted. When
there is a new general partner or when the ownership of 50 percent or
more of the capital or profits of a limited partnership, which is
required to maintain a register under Section 23405.1, is acquired by
or transferred to a person or persons as general or limited partners
and who did not hold ownership of 50 percent or more of the capital
or profits of the limited partnership on the date the license was
issued to the limited partnership, the license of the limited
partnership shall be transferred to the limited partnership as newly
constituted. The fee for the transfer shall be equal to 50 percent of
the original fee for the license, except that the minimum fee shall
be one hundred dollars ($100) and the maximum fee shall be eight
hundred dollars ($800). In situations involving the multiple and
simultaneous transfer of licenses under this section, the regular
transfer fee shall only be required for one of the licenses being
transferred and the remainder of the licenses shall be transferred
for a fee of one hundred dollars ($100) each. All of the transfer
fees collected pursuant to this section shall be deposited in the
Alcohol Beverage Control Fund as provided in Section 25761. Before
the license is transferred, the department shall conduct an
investigation pursuant to the provisions of Section 23958. Any person
or persons who own 50 percent or more of the shares of stock of the
corporation or who own as limited partners 50 percent or more of the
capital or profits of the limited partnership, as the case may be,
shall have all the qualifications required of a person holding the
same type of license.
   (b) No retail license shall be transferred by a corporation or a
limited partnership under this section unless, before the filing of
the transfer application with the department, the corporation or
limited partnership initiating the transfer records in the office of
the county recorder of the county or counties in which the premises
to which the license has been issued are situated a notice of the
intended transfer, stating all of the following:
   (1) The name and address of the corporation or limited
partnership.
   (2) The name and address of the person or persons acquiring
ownership of 50 percent or more of the stock of the corporation or
capital or profits of the limited partnership.
   (3) The amount of the consideration paid for the stock or limited
partnership interests.
   (4) The kind of license or licenses intended to be transferred.
   (5) The address or addresses of the premises to which the license
or licenses have been issued.
   A copy of the notice of the intended transfer, certified by the
county recorder, shall be filed with the department together with the
transfer application.
   (c) Notwithstanding any other provision of this division to the
contrary, a corporation or limited partnership as newly constituted
by transfer under this section, is not eligible for any new credit
from any person named in Section 25509 until all delinquent payments
owed by the entity as formerly constituted, are made, nor shall any
entity retail licensee, by transferring its license under this
section, avoid the provisions of Section 25509 with regard to 42-day
or 30-day periods, percentage charges for unpaid balances, or
cash-on-delivery basis.



24071.2.  (a) When the ownership of 50 percent or more of the
membership interests in a limited liability company required to
report the issuance or transfer of memberships under Section 23405.2
is acquired by or transferred to a person or persons who did not hold
the ownership of 50 percent of the membership interests on the date
the license was issued to the limited liability company, the license
of the limited liability company shall be transferred to the limited
liability company as newly constituted. The fee for the transfer
shall be equal to 50 percent of the original fee for the license,
except that the minimum fee shall be one hundred dollars ($100) and
the maximum fee shall be eight hundred dollars ($800). In situations
involving the multiple and simultaneous transfer of licenses under
this section, the regular transfer fee shall be required for only one
of the licenses being transferred and the remainder of the licenses
shall be transferred for a fee of one hundred dollars ($100) each.
All of the transfer fees collected pursuant to this section shall be
deposited in the Alcohol Beverage Control Fund, as provided in
Section 25761. Before the license is transferred, the department
shall conduct an investigation pursuant to Section 23958. Any person
or persons who own 50 percent or more of the membership interests of
the limited liability company shall have all the qualifications
required of a person holding the same type of license.
   (b) No retail license shall be transferred by a limited liability
company under this section unless, before the filing of the transfer
application with the department, the company initiating the transfer
records, in the office of the county recorder of the county or
counties in which the premises to which the license has been issued
are situated, a notice of the intended transfer, stating all of the
following:
   (1) The name and address of the limited liability company.
   (2) The name and address of the person or persons acquiring
ownership of 50 percent or more of the membership interests of the
limited liability company.
   (3) The amount of the consideration paid for the membership
interests.
   (4) The kind of license or licenses intended to be transferred.
   (5) The address or addresses of the premises to which the license
or licenses have been issued.
   A copy of the notice of the intended transfer, certified by the
county recorder, shall be filed with the department together with the
transfer application.
   (c) Notwithstanding any other provision of this division to the
contrary, a limited liability company as newly constituted by
transfer under this section shall not be eligible for any new credit
from any person named in Section 25509 until all delinquent payments
owed by the limited liability company as formerly constituted are
made, nor shall any retail licensee, by transferring its license
under this section, avoid the provisions of Section 25509 with regard
to 42-day or 30-day periods, percentage charges for unpaid balances,
or cash-on-delivery basis.
   (d) Nothing in this section shall be deemed to authorize the
formation of a limited liability company composed of only one member
in violation of subdivision (b) of Section 17050 of the Corporations
Code.


24072.  The following transfer fees shall be charged by the
department:
   (a) The fee for transfer of a license other than a retail license
from a licensee to another person is a fee equal to 70 percent of the
annual fee for the license, except as provided in Section 24071.
Section 23322 shall not apply to this transfer fee.
   (b) The fee for transfer of a retail license from a licensee to
another person is a fee equal to 50 percent of the original fee for
the license, but not to exceed one thousand two hundred fifty dollars
($1,250), or if no original fee is provided for by law, one hundred
dollars ($100).
   (c) Except as provided in Section 24082, the fee for transfer of a
license from one premises to another premises is one hundred dollars
($100).
   (d) Notwithstanding the other fee provisions of this section, the
fee for a transfer of an off-sale general license from one county to
another county shall be six thousand dollars ($6,000).
   (e) The fee for transfer of an on-sale or off-sale retail license
to include the mother, father, son, or daughter of a licensee, when
no consideration is given for such transfer, shall be one-half of the
regular fee for transfer of a license from a licensee to another
person, as provided by this section.
   All money collected from the fees provided for in this section
shall be deposited in the Alcohol Beverage Control Fund as provided
in Section 25761.


24072.1.  An on-sale license issued for a bona fide public eating
place may be transferred from the premises for which issued to other
premises, as provided in Section 24072, for a bona fide public eating
place or for public premises, as defined in Section 23039. An
on-sale license issued for public premises may be transferred from
the premises for which issued to other premises, as provided in
Section 24072, for public premises or for a bona fide public eating
place.


24072.2.  Any person who has an on-sale license issued for a bona
fide public eating place may exchange his or her license for a
similar license for public premises, as defined in Section 23039, and
any person who has such a license issued for public premises may
exchange his or her license for a similar license for a bona fide
public eating place. The exchange may be made at the time of renewal
of the license sought to be exchanged, and not more than once between
renewal periods, upon the approval of the department, the payment of
an exchange fee of one hundred dollars ($100), and compliance with
the provisions of this division relating to the issuance of an
original license. All money collected from the fee provided for in
this section shall be deposited directly in the Alcohol Beverage
Control Fund as provided in Section 25761.



24072.5.  Any person who has any on-sale general license may
exchange his or her license for a special on-sale general license and
any person who has a special on-sale general license may exchange
his or her license for an on-sale general license. The exchange may
be made at any time upon the approval of the department, the payment
of an exchange fee of one hundred dollars ($100), and compliance with
the provisions of this division relating to the issuance of an
original license. However, Sections 23985, 23985.5, and 23986 shall
not apply to the exchange of an on-sale general license for a special
on-sale general license. All money collected from the fee provided
for in this section shall be deposited in the Alcohol Beverage
Control Fund as provided in Section 25761.



24073.  No retail license limited in numbers, off-sale beer and wine
license, on-sale beer and wine license, on-sale beer and wine public
premises license, on-sale beer license, on-sale beer public premises
license, or on-sale general license for seasonal business, shall be
transferred unless before the filing of the transfer application with
the department the licensee or the intended transferee records in
the office of the county recorder of the county or counties in which
the premises to which the license has been issued are situated a
notice of the intended transfer, stating all of the following:
   (a) The name and address of the licensee.
   (b) The name and address of the intended transferee.
   (c) The kind of license or licenses intended to be transferred.
   (d) The address or addresses of the premises to which the license
or licenses have been issued.
   (e) An agreement between the parties to the transfer that the
consideration for the transfer of the business and license or
licenses, if any there be, is to be paid only after the transfer is
approved by the department.
   (f) The place where the purchase price or consideration for the
transfer of the business and license or licenses is to be paid, the
amount of such purchase price or consideration, and a description of
the entire consideration, including a designation of cash, checks,
promissory notes, and tangible and intangible property, and the
amount of each thereof.
   (g) The name and address of the escrow holder referred to in
Section 24074, or of the guarantor referred to in Section 24074.4, as
the case may be.
   A copy of the notice of intended transfer, certified by the county
recorder, shall be filed with the department together with a
transfer application.



24074.  Before the filing of such a transfer application with the
department, if the intended transfer of the business or license
involves a purchase price or consideration, the licensee and the
intended transferee shall establish an escrow with some person,
corporation, or association not a party to the transfer acting as
escrow holder, and the intended transferee shall deposit with the
escrow holder the full amount of the purchase price or consideration.
The transfer application shall be accompanied by a description of
the entire consideration. The description shall include a designation
of cash, checks, promissory notes, and tangible and intangible
property, and the amount of each thereof. The licensee and intended
transferee shall also enter into an agreement, which agreement shall
be deposited with the escrow holder, directing the escrow holder,
after the requirements for transfer as provided in Section 24049 are
satisfied, to pay out of the purchase price or consideration, whether
the consideration takes the form of cash, checks, promissory notes,
or tangible or intangible property, the claims of the bona fide
creditors of the licensee who file their claims with the escrow
holder before the escrow holder is notified by the department of its
approval of the transfer of the license or if the purchase price or
consideration is not sufficient to pay the claims in full, to
distribute the consideration as follows:
   First, to the United States for claims based on income or
withholding taxes; and thereafter for claims based on any tax other
than specified in Section 24049.
   Second, to the payment of claims for wages, salaries, or fringe
benefits of employees of the seller or transferor earned or accruing
prior to the sale, transfer, or opening of an escrow for the sale
thereof.
   Third, to the payment of claims of secured creditors to the extent
of the proceeds which arise from the sale of the security.
   Fourth, to the payment of claims on mechanics' liens.
   Fifth, to the payment of escrow fees and the payment of claims for
prevailing brokerage fees for services rendered and claims for
reasonable attorney's fees for services rendered.
   Sixth, to the payment of claims for goods sold and delivered to
the transferor for resale at his licensed premises and the payment of
claims for services rendered, performed, or supplied in connection
with the operation of the licensed business, and to the payment of
claims of a landlord, to the extent of proceeds on past due rent.
   Seventh, to the payment of other claims which have been reduced to
court-ordered judgments, including claims for court-ordered support
of a minor child.
   Eighth, to the payment of all other claims. The payment of these
claims if sufficient assets are not available for the payment of the
claim in full shall be paid pro rata.
   If the transferor licensee disputes any claim, the escrow holder
shall notify the claimant, and the amount or pro rata amount thereof
shall be retained by the escrow holder for a period of 25 days, and
if not attached shall be paid to the transferor licensee. The
agreement shall also provide that the escrow holder shall make the
payment or distribution within a reasonable time after the completion
of the transfer of the license.



24074.1.  Any person desiring to act as an escrow holder under
Section 24074 shall:
   1. Comply with all the applicable provisions of Chapter 1
(commencing with Section 17000) of Division 6 of the Financial Code.
   2. Not more than 10 days after receiving a claim from a creditor,
said escrow holder shall acknowledge receipt of each claim; and
   3. Not more than 10 days after the license has been transferred
and prior to the distribution of the assets held by said escrow
holder he shall advise each creditor who filed a claim against the
escrow whether or not there are sufficient assets in the escrow to
pay all creditors in full. If the assets in the escrow are sufficient
to pay all creditors in full, said escrow holder shall also advise
each creditor of the date on or before which payment will be made. If
there are not sufficient assets to pay all creditors in full, he
shall then advise each creditor who filed a claim of the following:
(a) the total assets placed in escrow with him and the nature of each
asset; (b) the name of each creditor who filed a claim against the
escrow and the amount of said claim; (c) the amount he proposes to
pay each creditor; and (d) the date on or before which said amount
will be paid to the creditors.



24074.2.  Any person desiring to act as an escrow holder under
Section 24074 shall not release any funds in the escrow in exchange
for a promissory note or in exchange for any other consideration of
less value to the creditors than the funds exchanged.




24074.3.  (a) Within 30 days after the filing of an application for
transfer of a license referred to in Section 24073, the intended
transferee shall file with the department a statement executed under
penalty of perjury that the purchase price or consideration as set
forth in the escrow agreement required by Section 24074 has been
deposited with the escrowholder. At the time such statement is filed
with the department copies thereof shall be submitted by the intended
transferee to the transferor and the escrowholder concerned. The
30-day period specified by this section may be extended by the
department for good cause; however, the license shall not be
transferred until the statement required by this section is received
by the department.
   (b) This section shall not apply in the case of transfers for
which a guaranty of payment has been filed pursuant to Section
24074.4.



24074.4.  (a) Notwithstanding the provisions of Section 24074, no
escrow shall be required to be established in connection with the
transfer of a business or license if a corporate person files with
the department a guaranty of full, prompt, and faithful payment of
all claims of bona fide creditors of the licensee, and such guaranty
is acceptable to the creditors. The department shall not transfer the
license until the guarantor has paid all the creditors' claims in
full and the guarantor has filed with the department a statement
executed under penalty of perjury that all conditions of the transfer
have been satisfied. Payment of such claims by the guarantor shall
be made in United States currency or by certified check in a manner
acceptable to the creditors.
   (b) This section shall apply only in the case of a transfer
involving an off-sale beer and wine license, and in which the
guarantor corporation has a net worth on a consolidated basis,
according to its most recent audited financial statement, of not less
than five million dollars ($5,000,000).



24075.  The provisions of Sections 24073 and 24074 do not apply to
any transfer of a license made by an executor, administrator,
guardian, conservator, trustee, receiver, except a receiver appointed
under the provisions of Section 708.630 of the Code of Civil
Procedure, or other person acting in the legal or proper discharge of
official duty, or in the discharge of any trust imposed upon the
person by law, nor to any transfer or assignment made for the benefit
of creditors, nor to a surviving spouse or fiduciary or other person
within the meaning of Section 24071.



24076.  No licensee shall enter into any agreement wherein he
pledges the transfer of his license as security for a loan or as
security for the fulfillment of any agreement. No license shall be
transferred if the transfer is to satisfy a loan or to fulfill an
agreement entered into more than 90 days preceding the date on which
the transfer application is filed, or to gain or establish a
preference to or for any creditor of the transferor, except as
provided by Section 24074, or to defraud or injure any creditor of
the transferor.


24077.  Notwithstanding any other provision of law, no license shall
be transferred into any county having a population of 35,000 or
less.


24078.  A special onsale general license may be transferred from
person to person or from premises to premises, as provided in this
article, but only for the operation of the licensed premises as
required by Section 23399.2.


24079.  (a) The purchase price or consideration that may be paid by
a transferee or received by a transferor of an on-sale general
license or off-sale general license originally issued on or after
June 1, 1961, shall not exceed six thousand dollars ($6,000), except
that after a period of five years from the date of the original
issuance of the license there shall be no restriction as to the
purchase price or consideration that may be paid by a transferee or
received by a transferor.
   (b) Notwithstanding subdivision (a), any original on-sale general
license or any original off-sale general license for which a fee in
excess of twelve thousand dollars ($12,000) has been paid pursuant to
subdivision (b) of Section 23954.5 may not be transferred for one
year following its initial issuance. After one year, this license may
be transferred and there shall be no restriction as to the purchase
price or consideration that may be paid by a transferee or received
by a transferor.
   (c) Any original on-sale general license or any original off-sale
general license for which an original fee of twelve thousand dollars
($12,000) was paid shall not be transferred for a purchase price in
excess of twelve thousand dollars ($12,000) for two years following
its initial issuance. After two years, this license may be
transferred and there shall be no restriction as to the purchase
price or consideration that may be paid by a transferee or received
by a transferor.



24080.  Every application filed by the intended transferee with the
department for the transfer of an onsale or offsale general license
shall indicate whether the consideration, if any, to be paid to the
transferor includes payment for any or all of the following:
   (a) Inventory.
   (b) Fixtures.
   (c) Transfer of the license.
   The actual amount of the consideration, if any, to be paid for
items (a), (b) and (c) is to be indicated in the application.



24081.  (a) Notwithstanding any other provision of law in this
division including, but not limited to, requirements relating to the
issuance or transfer of a license, any licensee whose premises, for
which a license, other than an off-sale license, has been issued,
have been destroyed as a result of fire or any act of God or other
force beyond the control of the licensee may carry on his or her
business for a period of not more than 180 days at a location within
500 feet of the premises for which the license was issued and while
the premises are being repaired or rebuilt and he or she shall be
entitled to carry on his or her business under his or her existing
license upon the former premises when they have been repaired or
rebuilt.
   (b) Notwithstanding any other provision of law in this division,
including, but not limited to, requirements relating to the issuance
or transfer of a license, any licensee whose premises, for which an
off-sale license has been issued, have been destroyed as a result of
fire or any act of God or other force beyond the control of the
licensee, may carry on his or her business for a period of not more
than six months at a location within 500 feet of the premises for
which the license was issued and while the premises are being
repaired or rebuilt and he or she shall be entitled to carry on his
or her business under his or her existing license upon the former
premises when they have been repaired or rebuilt.



24082.  The license of a licensee whose licensed premises have been
destroyed as a result of fire or act of God or have been taken under
the power of eminent domain, may be transferred to another location
within the same county without payment of the fee for transfer of a
license from one premises to another premises. Within 18 months of
the fire or act of God, if the destroyed premises have been
reconstructed and the license has not been transferred to another
person, the license may be transferred back to the location of the
destroyed premises without payment of the fee for transfer of a
license from one premises to another premises.



State Codes and Statutes

State Codes and Statutes

Statutes > California > Bpc > 24070-24082

BUSINESS AND PROFESSIONS CODE
SECTION 24070-24082



24070.  Each license is separate and distinct and is transferable
upon approval by the department from the licensee to another person
and from one premises to another premises.
   (a) All off-sale general licenses may be transferred from one
county to another county, subject to the following provisions:
   1. The number of off-sale general licenses in existence in any
county on June 1 of any year shall not be increased by more than 25
new original off-sale general licenses during the following 12-month
period, provided further that the number of new original off-sale
general licenses that may be issued in any county during any 12-month
period shall not increase by more than 10 percent the number of
off-sale general licenses in existence in such county on the June 1
with which that 12-month period began.
   2. After the department computes the number of new original
off-sale licenses that may be issued in any county during any
12-month period as provided by the foregoing paragraph, if the
department determines that the ratio established by Section 23817
will permit, during such 12-month period, additional off-sale general
licenses in any county, off-sale general licenses may be transferred
into such county in a number not to exceed by more than 10 percent
the number of off-sale general licenses in existence in such county
on the June 1 with which that 12-month period began, but in no event
to exceed 25 such transfers during that 12-month period.
   3. Under no circumstances shall the combined total number of new
original off-sale general licenses that may be issued in any county
during any 12-month period and the number of off-sale general
licenses that may be transferred into such county during that
12-month period, exceed the limitation set forth in Section 23817.
   (b) All on-sale general licenses may be transferred from one
county to another county, subject to the following provisions:
   1. The number of on-sale general licenses in existence in any
county on June 1 of any year shall not be increased by more than 10
percent by the issuance of new original on-sale general licenses, but
in no event to exceed 25 such licenses, during any 12-month period.
The number of on-sale general licenses shall be limited by the
provisions of Section 23816.
   2. After the department computes the number of new original
on-sale licenses that may be issued in any county during any 12-month
period as provided by the foregoing paragraph, if the department
determines that the ratio established by Section 23816 will permit,
during such 12-month period, additional on-sale general licenses in
any county, on-sale general licenses may be transferred into such
county in a number not to exceed by more than 10 percent the number
of on-sale general licenses in existence in such county on the June
with which that 12-month period began, but in no event to exceed 25
such transfers during that 12-month period.
   3. Under no circumstances shall the combined total number of new
original on-sale general licenses that may be issued in any county
during any 12-month period and the number of on-sale general licenses
that may be transferred into such county during that 12-month
period, exceed the limitation set forth in Section 23816.
   4. The transfer fee for transfer of an on-sale general license
from one county to another county shall be the same as the fee
prescribed in subdivision (d) of Section 24072 for transfer of an
off-sale general license from one county to another county.
   (c) No retail license subject to the provisions of Section 23816
or 23817 issued as a new original license on or after June 1, 1961,
and no off-sale general license or on-sale general license
transferred from one county to another county on or after August 17,
1967, shall be transferable from the licensee to another person, or
if the licensee is a corporation a controlling interest in the stock
ownership of the licensee shall not be, directly or indirectly, sold,
transferred, or hypothecated unless the licensee be a corporation
the stock of which is listed on a stock exchange in this state or in
the City of New York, State of New York, or which is required by law
to file periodic reports with the Security Exchange Commission, for a
period of two years from date of issuance of the license, except as
provided in Section 24071, and except when the department determines
that the transfer is necessary to prevent undue hardship.
   (d) No off-sale general license or on-sale general license that is
transferred from one county to another county pursuant to this
section shall be transferred thereafter for a purchase price or
consideration to the transferor or from the transferee in excess of
ten thousand dollars ($10,000), except that if the off-sale general
license or on-sale general license was originally issued on or after
June 1, 1961, the purchase price or consideration to the transferor
or from the transferee shall not exceed six thousand dollars
($6,000), as provided by Section 24079.
   (e) Notwithstanding the provisions of subdivision (d) of this
section any off-sale general license or on-sale general license
transferred from one county to another county pursuant to this
section may be transferred with no restrictions as to the purchase
price or consideration to the transferor or from the transferee after
a period of five years from the date of the intercounty transfer of
the license.


24070.1.  An on-sale license issued for a bona fide public eating
place may be transferred from the licensee to another person, as
provided in Section 24070, for a bona fide public eating place or for
public premises, as defined in Section 23039. An on-sale license
issued for public premises may be transferred from the licensee to
another person, as provided in Section 24070, for public premises or
for a bona fide public eating place.



24070.2.  Notwithstanding subdivision (a) of Section 24070, any
off-sale general license issued prior to April 29, 1992, and located
within the boundaries of the United States Bureau of the Census
census tracts 234000, 234200, 234300, 234500, 234600, 234700, 234800,
234900, 235100, 235201, 235202, 236100, 236201, 236202, 236400,
231100, 231500, 231600, 231700, 231800, 231900, 232100, 232200,
232300, 232400, 232500, 232600, 232700, 232800, 237100, 237200,
237300, 237400, 237500, 237600, 237700, 237800, 237900, 238000,
238100, 238200, 238300, 238400, 240300, 240400, 241200, 241300,
600100, 600201, 600202, 600301, 600302, 600400, 602700, 602800,
602900, 603002, 228100, 228200, 228300, 228400, 228500, 228600,
228700, 228800, 228900, 229100, 229200, 229300, 229400, 239200,
239300, 239500, 239600, 239700, 239800, 242000, 242100, 242200,
242300, 242600, 242700, 243000, 243100, 535400, 240000, 240200,
240500, 240600, 240700, 240800, 240900, 241000, 241100, 241400,
532700, 532800, 532900, 533000, 534900, 535000, 535101, 535102,
535200, 535300, 535400, 541100, 541200, 541300, 541400, 541601,
541602, 541800, 542000, 542101, 542102, 542200, 542401, 542402,
542500, 542600, 542700, 542800, 542900, 543000, 543100, 543200,
543301, 543321, and 570400 located within Los Angeles County may be
transferred from that county to another county without regard to the
limitations imposed by Section 24070. Notwithstanding the fee
provisions of Section 24072, the fee for a transfer of a license
pursuant to this section shall be one hundred dollars ($100).



24070.5.  When a winegrower has failed to carry on business
actively, pursuant to a winegrower's license, for a period of one
year, such winegrower's license, without regard to when it was
originally issued, may be transferred only to a person who qualifies
as a winegrower, as defined in Sections 23013 and 23358 of this code.




24071.  The license of one spouse may be transferred to the other
spouse when the application for transfer is made prior to the entry
of a final decree of divorce, and the license of a decedent, minor
ward, incompetent person, conservatee, debtor in a bankruptcy case,
person for whose estate a receiver is appointed, or assignor for the
benefit of creditors may be transferred by or to the surviving
partners of a deceased licensee, the executor, administrator,
conservator or guardian of an estate of a licensee, the surviving
spouse of a deceased licensee in the event that the deceased licensee
leaves no estate to be administered, the trustee of a bankrupt
estate of a licensee, a receiver of the estate of a licensee, or an
assignee for the benefit of creditors of a licensee with the consent
of the assignor, or a license may be transferred by or to a receiver
appointed for a judgment debtor as provided by Section 708.630 of the
Code of Civil Procedure, or a license may be transferred to a
revocable living trust when the licensee is also the trustee, or a
license may be transferred between partners where no new partner is
being licensed, or a license may be transferred between corporations
whose outstanding shares of stock are owned by the same natural
persons, or a licensee may transfer upon compliance with Section
24073 any license to a corporation whose entire stock is owned by the
licensee, or his or her spouse, or a licensee may transfer upon
compliance with Section 24073 any license to a limited liability
company whose entire membership consists of the licensee, or his or
her spouse, or a license may be transferred from a corporation to a
person who owns, or whose spouse owns, the entire stock of the
corporation, and the fee for transfer of each license is fifty
dollars ($50). The regular transfer fee provided in Section 24072
shall be due and payable upon the subsequent transfer of 25 percent
of the stock in a corporation to which a license has been transferred
by a licensee or his or her spouse pursuant to this section, except
if the transfer of stock is from a parent to his or her child or
grandchild, in which case the fee shall be one-half of the regular
transfer fee. In no case shall a fee be charged for the transfer of
an importer's license. All money collected from the fees provided for
in this section shall be deposited in the Alcohol Beverage Control
Fund as provided in Section 25761.
   Nothing in this section shall be deemed to authorize the formation
of a limited liability company composed of only one member in
violation of subdivision (b) of Section 17050 of the Corporations
Code.



24071.1.  (a) When the ownership of 50 percent or more of the shares
of stock of a corporation, which is required to report the issuance
or transfer of those shares of stock under Section 23405, is acquired
by or transferred to a person or persons who did not hold the
ownership of 50 percent of those shares of stock on the date the
license was issued to the corporation, the license of the corporation
shall be transferred to the corporation as newly constituted. When
there is a new general partner or when the ownership of 50 percent or
more of the capital or profits of a limited partnership, which is
required to maintain a register under Section 23405.1, is acquired by
or transferred to a person or persons as general or limited partners
and who did not hold ownership of 50 percent or more of the capital
or profits of the limited partnership on the date the license was
issued to the limited partnership, the license of the limited
partnership shall be transferred to the limited partnership as newly
constituted. The fee for the transfer shall be equal to 50 percent of
the original fee for the license, except that the minimum fee shall
be one hundred dollars ($100) and the maximum fee shall be eight
hundred dollars ($800). In situations involving the multiple and
simultaneous transfer of licenses under this section, the regular
transfer fee shall only be required for one of the licenses being
transferred and the remainder of the licenses shall be transferred
for a fee of one hundred dollars ($100) each. All of the transfer
fees collected pursuant to this section shall be deposited in the
Alcohol Beverage Control Fund as provided in Section 25761. Before
the license is transferred, the department shall conduct an
investigation pursuant to the provisions of Section 23958. Any person
or persons who own 50 percent or more of the shares of stock of the
corporation or who own as limited partners 50 percent or more of the
capital or profits of the limited partnership, as the case may be,
shall have all the qualifications required of a person holding the
same type of license.
   (b) No retail license shall be transferred by a corporation or a
limited partnership under this section unless, before the filing of
the transfer application with the department, the corporation or
limited partnership initiating the transfer records in the office of
the county recorder of the county or counties in which the premises
to which the license has been issued are situated a notice of the
intended transfer, stating all of the following:
   (1) The name and address of the corporation or limited
partnership.
   (2) The name and address of the person or persons acquiring
ownership of 50 percent or more of the stock of the corporation or
capital or profits of the limited partnership.
   (3) The amount of the consideration paid for the stock or limited
partnership interests.
   (4) The kind of license or licenses intended to be transferred.
   (5) The address or addresses of the premises to which the license
or licenses have been issued.
   A copy of the notice of the intended transfer, certified by the
county recorder, shall be filed with the department together with the
transfer application.
   (c) Notwithstanding any other provision of this division to the
contrary, a corporation or limited partnership as newly constituted
by transfer under this section, is not eligible for any new credit
from any person named in Section 25509 until all delinquent payments
owed by the entity as formerly constituted, are made, nor shall any
entity retail licensee, by transferring its license under this
section, avoid the provisions of Section 25509 with regard to 42-day
or 30-day periods, percentage charges for unpaid balances, or
cash-on-delivery basis.



24071.2.  (a) When the ownership of 50 percent or more of the
membership interests in a limited liability company required to
report the issuance or transfer of memberships under Section 23405.2
is acquired by or transferred to a person or persons who did not hold
the ownership of 50 percent of the membership interests on the date
the license was issued to the limited liability company, the license
of the limited liability company shall be transferred to the limited
liability company as newly constituted. The fee for the transfer
shall be equal to 50 percent of the original fee for the license,
except that the minimum fee shall be one hundred dollars ($100) and
the maximum fee shall be eight hundred dollars ($800). In situations
involving the multiple and simultaneous transfer of licenses under
this section, the regular transfer fee shall be required for only one
of the licenses being transferred and the remainder of the licenses
shall be transferred for a fee of one hundred dollars ($100) each.
All of the transfer fees collected pursuant to this section shall be
deposited in the Alcohol Beverage Control Fund, as provided in
Section 25761. Before the license is transferred, the department
shall conduct an investigation pursuant to Section 23958. Any person
or persons who own 50 percent or more of the membership interests of
the limited liability company shall have all the qualifications
required of a person holding the same type of license.
   (b) No retail license shall be transferred by a limited liability
company under this section unless, before the filing of the transfer
application with the department, the company initiating the transfer
records, in the office of the county recorder of the county or
counties in which the premises to which the license has been issued
are situated, a notice of the intended transfer, stating all of the
following:
   (1) The name and address of the limited liability company.
   (2) The name and address of the person or persons acquiring
ownership of 50 percent or more of the membership interests of the
limited liability company.
   (3) The amount of the consideration paid for the membership
interests.
   (4) The kind of license or licenses intended to be transferred.
   (5) The address or addresses of the premises to which the license
or licenses have been issued.
   A copy of the notice of the intended transfer, certified by the
county recorder, shall be filed with the department together with the
transfer application.
   (c) Notwithstanding any other provision of this division to the
contrary, a limited liability company as newly constituted by
transfer under this section shall not be eligible for any new credit
from any person named in Section 25509 until all delinquent payments
owed by the limited liability company as formerly constituted are
made, nor shall any retail licensee, by transferring its license
under this section, avoid the provisions of Section 25509 with regard
to 42-day or 30-day periods, percentage charges for unpaid balances,
or cash-on-delivery basis.
   (d) Nothing in this section shall be deemed to authorize the
formation of a limited liability company composed of only one member
in violation of subdivision (b) of Section 17050 of the Corporations
Code.


24072.  The following transfer fees shall be charged by the
department:
   (a) The fee for transfer of a license other than a retail license
from a licensee to another person is a fee equal to 70 percent of the
annual fee for the license, except as provided in Section 24071.
Section 23322 shall not apply to this transfer fee.
   (b) The fee for transfer of a retail license from a licensee to
another person is a fee equal to 50 percent of the original fee for
the license, but not to exceed one thousand two hundred fifty dollars
($1,250), or if no original fee is provided for by law, one hundred
dollars ($100).
   (c) Except as provided in Section 24082, the fee for transfer of a
license from one premises to another premises is one hundred dollars
($100).
   (d) Notwithstanding the other fee provisions of this section, the
fee for a transfer of an off-sale general license from one county to
another county shall be six thousand dollars ($6,000).
   (e) The fee for transfer of an on-sale or off-sale retail license
to include the mother, father, son, or daughter of a licensee, when
no consideration is given for such transfer, shall be one-half of the
regular fee for transfer of a license from a licensee to another
person, as provided by this section.
   All money collected from the fees provided for in this section
shall be deposited in the Alcohol Beverage Control Fund as provided
in Section 25761.


24072.1.  An on-sale license issued for a bona fide public eating
place may be transferred from the premises for which issued to other
premises, as provided in Section 24072, for a bona fide public eating
place or for public premises, as defined in Section 23039. An
on-sale license issued for public premises may be transferred from
the premises for which issued to other premises, as provided in
Section 24072, for public premises or for a bona fide public eating
place.


24072.2.  Any person who has an on-sale license issued for a bona
fide public eating place may exchange his or her license for a
similar license for public premises, as defined in Section 23039, and
any person who has such a license issued for public premises may
exchange his or her license for a similar license for a bona fide
public eating place. The exchange may be made at the time of renewal
of the license sought to be exchanged, and not more than once between
renewal periods, upon the approval of the department, the payment of
an exchange fee of one hundred dollars ($100), and compliance with
the provisions of this division relating to the issuance of an
original license. All money collected from the fee provided for in
this section shall be deposited directly in the Alcohol Beverage
Control Fund as provided in Section 25761.



24072.5.  Any person who has any on-sale general license may
exchange his or her license for a special on-sale general license and
any person who has a special on-sale general license may exchange
his or her license for an on-sale general license. The exchange may
be made at any time upon the approval of the department, the payment
of an exchange fee of one hundred dollars ($100), and compliance with
the provisions of this division relating to the issuance of an
original license. However, Sections 23985, 23985.5, and 23986 shall
not apply to the exchange of an on-sale general license for a special
on-sale general license. All money collected from the fee provided
for in this section shall be deposited in the Alcohol Beverage
Control Fund as provided in Section 25761.



24073.  No retail license limited in numbers, off-sale beer and wine
license, on-sale beer and wine license, on-sale beer and wine public
premises license, on-sale beer license, on-sale beer public premises
license, or on-sale general license for seasonal business, shall be
transferred unless before the filing of the transfer application with
the department the licensee or the intended transferee records in
the office of the county recorder of the county or counties in which
the premises to which the license has been issued are situated a
notice of the intended transfer, stating all of the following:
   (a) The name and address of the licensee.
   (b) The name and address of the intended transferee.
   (c) The kind of license or licenses intended to be transferred.
   (d) The address or addresses of the premises to which the license
or licenses have been issued.
   (e) An agreement between the parties to the transfer that the
consideration for the transfer of the business and license or
licenses, if any there be, is to be paid only after the transfer is
approved by the department.
   (f) The place where the purchase price or consideration for the
transfer of the business and license or licenses is to be paid, the
amount of such purchase price or consideration, and a description of
the entire consideration, including a designation of cash, checks,
promissory notes, and tangible and intangible property, and the
amount of each thereof.
   (g) The name and address of the escrow holder referred to in
Section 24074, or of the guarantor referred to in Section 24074.4, as
the case may be.
   A copy of the notice of intended transfer, certified by the county
recorder, shall be filed with the department together with a
transfer application.



24074.  Before the filing of such a transfer application with the
department, if the intended transfer of the business or license
involves a purchase price or consideration, the licensee and the
intended transferee shall establish an escrow with some person,
corporation, or association not a party to the transfer acting as
escrow holder, and the intended transferee shall deposit with the
escrow holder the full amount of the purchase price or consideration.
The transfer application shall be accompanied by a description of
the entire consideration. The description shall include a designation
of cash, checks, promissory notes, and tangible and intangible
property, and the amount of each thereof. The licensee and intended
transferee shall also enter into an agreement, which agreement shall
be deposited with the escrow holder, directing the escrow holder,
after the requirements for transfer as provided in Section 24049 are
satisfied, to pay out of the purchase price or consideration, whether
the consideration takes the form of cash, checks, promissory notes,
or tangible or intangible property, the claims of the bona fide
creditors of the licensee who file their claims with the escrow
holder before the escrow holder is notified by the department of its
approval of the transfer of the license or if the purchase price or
consideration is not sufficient to pay the claims in full, to
distribute the consideration as follows:
   First, to the United States for claims based on income or
withholding taxes; and thereafter for claims based on any tax other
than specified in Section 24049.
   Second, to the payment of claims for wages, salaries, or fringe
benefits of employees of the seller or transferor earned or accruing
prior to the sale, transfer, or opening of an escrow for the sale
thereof.
   Third, to the payment of claims of secured creditors to the extent
of the proceeds which arise from the sale of the security.
   Fourth, to the payment of claims on mechanics' liens.
   Fifth, to the payment of escrow fees and the payment of claims for
prevailing brokerage fees for services rendered and claims for
reasonable attorney's fees for services rendered.
   Sixth, to the payment of claims for goods sold and delivered to
the transferor for resale at his licensed premises and the payment of
claims for services rendered, performed, or supplied in connection
with the operation of the licensed business, and to the payment of
claims of a landlord, to the extent of proceeds on past due rent.
   Seventh, to the payment of other claims which have been reduced to
court-ordered judgments, including claims for court-ordered support
of a minor child.
   Eighth, to the payment of all other claims. The payment of these
claims if sufficient assets are not available for the payment of the
claim in full shall be paid pro rata.
   If the transferor licensee disputes any claim, the escrow holder
shall notify the claimant, and the amount or pro rata amount thereof
shall be retained by the escrow holder for a period of 25 days, and
if not attached shall be paid to the transferor licensee. The
agreement shall also provide that the escrow holder shall make the
payment or distribution within a reasonable time after the completion
of the transfer of the license.



24074.1.  Any person desiring to act as an escrow holder under
Section 24074 shall:
   1. Comply with all the applicable provisions of Chapter 1
(commencing with Section 17000) of Division 6 of the Financial Code.
   2. Not more than 10 days after receiving a claim from a creditor,
said escrow holder shall acknowledge receipt of each claim; and
   3. Not more than 10 days after the license has been transferred
and prior to the distribution of the assets held by said escrow
holder he shall advise each creditor who filed a claim against the
escrow whether or not there are sufficient assets in the escrow to
pay all creditors in full. If the assets in the escrow are sufficient
to pay all creditors in full, said escrow holder shall also advise
each creditor of the date on or before which payment will be made. If
there are not sufficient assets to pay all creditors in full, he
shall then advise each creditor who filed a claim of the following:
(a) the total assets placed in escrow with him and the nature of each
asset; (b) the name of each creditor who filed a claim against the
escrow and the amount of said claim; (c) the amount he proposes to
pay each creditor; and (d) the date on or before which said amount
will be paid to the creditors.



24074.2.  Any person desiring to act as an escrow holder under
Section 24074 shall not release any funds in the escrow in exchange
for a promissory note or in exchange for any other consideration of
less value to the creditors than the funds exchanged.




24074.3.  (a) Within 30 days after the filing of an application for
transfer of a license referred to in Section 24073, the intended
transferee shall file with the department a statement executed under
penalty of perjury that the purchase price or consideration as set
forth in the escrow agreement required by Section 24074 has been
deposited with the escrowholder. At the time such statement is filed
with the department copies thereof shall be submitted by the intended
transferee to the transferor and the escrowholder concerned. The
30-day period specified by this section may be extended by the
department for good cause; however, the license shall not be
transferred until the statement required by this section is received
by the department.
   (b) This section shall not apply in the case of transfers for
which a guaranty of payment has been filed pursuant to Section
24074.4.



24074.4.  (a) Notwithstanding the provisions of Section 24074, no
escrow shall be required to be established in connection with the
transfer of a business or license if a corporate person files with
the department a guaranty of full, prompt, and faithful payment of
all claims of bona fide creditors of the licensee, and such guaranty
is acceptable to the creditors. The department shall not transfer the
license until the guarantor has paid all the creditors' claims in
full and the guarantor has filed with the department a statement
executed under penalty of perjury that all conditions of the transfer
have been satisfied. Payment of such claims by the guarantor shall
be made in United States currency or by certified check in a manner
acceptable to the creditors.
   (b) This section shall apply only in the case of a transfer
involving an off-sale beer and wine license, and in which the
guarantor corporation has a net worth on a consolidated basis,
according to its most recent audited financial statement, of not less
than five million dollars ($5,000,000).



24075.  The provisions of Sections 24073 and 24074 do not apply to
any transfer of a license made by an executor, administrator,
guardian, conservator, trustee, receiver, except a receiver appointed
under the provisions of Section 708.630 of the Code of Civil
Procedure, or other person acting in the legal or proper discharge of
official duty, or in the discharge of any trust imposed upon the
person by law, nor to any transfer or assignment made for the benefit
of creditors, nor to a surviving spouse or fiduciary or other person
within the meaning of Section 24071.



24076.  No licensee shall enter into any agreement wherein he
pledges the transfer of his license as security for a loan or as
security for the fulfillment of any agreement. No license shall be
transferred if the transfer is to satisfy a loan or to fulfill an
agreement entered into more than 90 days preceding the date on which
the transfer application is filed, or to gain or establish a
preference to or for any creditor of the transferor, except as
provided by Section 24074, or to defraud or injure any creditor of
the transferor.


24077.  Notwithstanding any other provision of law, no license shall
be transferred into any county having a population of 35,000 or
less.


24078.  A special onsale general license may be transferred from
person to person or from premises to premises, as provided in this
article, but only for the operation of the licensed premises as
required by Section 23399.2.


24079.  (a) The purchase price or consideration that may be paid by
a transferee or received by a transferor of an on-sale general
license or off-sale general license originally issued on or after
June 1, 1961, shall not exceed six thousand dollars ($6,000), except
that after a period of five years from the date of the original
issuance of the license there shall be no restriction as to the
purchase price or consideration that may be paid by a transferee or
received by a transferor.
   (b) Notwithstanding subdivision (a), any original on-sale general
license or any original off-sale general license for which a fee in
excess of twelve thousand dollars ($12,000) has been paid pursuant to
subdivision (b) of Section 23954.5 may not be transferred for one
year following its initial issuance. After one year, this license may
be transferred and there shall be no restriction as to the purchase
price or consideration that may be paid by a transferee or received
by a transferor.
   (c) Any original on-sale general license or any original off-sale
general license for which an original fee of twelve thousand dollars
($12,000) was paid shall not be transferred for a purchase price in
excess of twelve thousand dollars ($12,000) for two years following
its initial issuance. After two years, this license may be
transferred and there shall be no restriction as to the purchase
price or consideration that may be paid by a transferee or received
by a transferor.



24080.  Every application filed by the intended transferee with the
department for the transfer of an onsale or offsale general license
shall indicate whether the consideration, if any, to be paid to the
transferor includes payment for any or all of the following:
   (a) Inventory.
   (b) Fixtures.
   (c) Transfer of the license.
   The actual amount of the consideration, if any, to be paid for
items (a), (b) and (c) is to be indicated in the application.



24081.  (a) Notwithstanding any other provision of law in this
division including, but not limited to, requirements relating to the
issuance or transfer of a license, any licensee whose premises, for
which a license, other than an off-sale license, has been issued,
have been destroyed as a result of fire or any act of God or other
force beyond the control of the licensee may carry on his or her
business for a period of not more than 180 days at a location within
500 feet of the premises for which the license was issued and while
the premises are being repaired or rebuilt and he or she shall be
entitled to carry on his or her business under his or her existing
license upon the former premises when they have been repaired or
rebuilt.
   (b) Notwithstanding any other provision of law in this division,
including, but not limited to, requirements relating to the issuance
or transfer of a license, any licensee whose premises, for which an
off-sale license has been issued, have been destroyed as a result of
fire or any act of God or other force beyond the control of the
licensee, may carry on his or her business for a period of not more
than six months at a location within 500 feet of the premises for
which the license was issued and while the premises are being
repaired or rebuilt and he or she shall be entitled to carry on his
or her business under his or her existing license upon the former
premises when they have been repaired or rebuilt.



24082.  The license of a licensee whose licensed premises have been
destroyed as a result of fire or act of God or have been taken under
the power of eminent domain, may be transferred to another location
within the same county without payment of the fee for transfer of a
license from one premises to another premises. Within 18 months of
the fire or act of God, if the destroyed premises have been
reconstructed and the license has not been transferred to another
person, the license may be transferred back to the location of the
destroyed premises without payment of the fee for transfer of a
license from one premises to another premises.