§281-31 - Licenses, classes.

PART III.
LICENSES AND PERMITS, GENERAL PROVISIONS

§281-31 Licenses, classes. (a)
Licenses may be granted by the liquor commission as provided in this section.

(b) Class 1. Manufacturer license. A license
for the manufacture of liquor shall authorize the licensee to manufacture the
liquor therein specified and to sell it at wholesale in original packages to
any person who holds a license to resell it and to sell draught beer or wine
manufactured from grapes or other fruits grown in the State in any quantity to
any person for private use and consumption. Under this license, no liquor
shall be consumed on the premises except as authorized by the commission. Of
this class, there shall be the following kinds:

(1) Beer;

(2) Wine;

(3) Alcohol; and

(4) Other specified liquor.

It shall be unlawful for any holder of a
manufacturer license to have any interest whatsoever in the license or licensed
premises of any other licensee. This subsection shall not prevent the holder
of a manufacturer license under this chapter or under the law of another
jurisdiction from maintaining any interest in the license or licensed premises
of a wholesale dealer licensee under this chapter.

(1) A license under this class shall authorize the
licensee to sell liquor specified in this subsection for consumption on the
premises; provided that a restaurant licensee, with commission approval, may
provide off-premises catering of food and liquor; provided further that the
catering activity shall be directly related to the licensee's operation as a
restaurant. A licensee under this class shall be issued a license according to
the category of establishment the licensee owns or operates. The categories of
establishment shall be as follows:

(A) A standard bar; or

(B) Premises in which live entertainment or
recorded music is provided. Facilities for dancing by the patrons may be
permitted as provided by commission rules.

(2) If a licensee under class 2 desires to change the
category of establishment the licensee owns or operates, the licensee shall
apply for a new license applicable to the category of the licensee's
establishment.

(3) Of this class, there shall be the following
kinds:

(A) General (includes all liquor except
alcohol);

(B) Beer and wine; and

Notwithstanding section 281-57, the commission may
approve at one public hearing and without notice the change to a class 2
restaurant license of a licensee holding a class 5 dispenser license who meets
the requirements of a class 2 license.

(d) Class 3. Wholesale dealer license. A
license for the sale of liquor at wholesale shall authorize the licensee to
import and sell only to licensees, or to others who are by law authorized to
resell but are not by law required to hold a license, the liquor therein
specified; provided that samples of liquor may be sold back to the
manufacturer. Under the license, no liquor shall be consumed on the premises
except as authorized by the commission. Of this class, there shall be the following
kinds:

(1) General (includes all liquor except alcohol);

(2) Beer and wine; and

(3) Alcohol.

If any wholesale dealer solicits or takes any orders
in any county other than that where the dealer's place of business is located,
the orders may be filled only by shipment direct from the county in which the
wholesale dealer holds the dealer license. Nothing in this subsection shall
prevent a wholesaler from selling liquor to post exchanges, ships' service
stores, army or navy officers' clubs, or similar organizations located on army
or navy reservations, or to any vessel other than vessels performing a regular
water transportation service between any two or more ports in the State, or to
aviation companies who operate an aerial transportation enterprise as a common
carrier, under chapter 269, engaged in regular flight passenger services
between any two or more airports in the State for use on aircraft, or aviation
companies engaged in transpacific flight operations for use on aircraft outside
the jurisdiction of the State.

(e) Class 4. Retail dealer license. A
license to sell liquor at retail or to class 10 licenses shall authorize the
licensee to sell the liquor therein specified in their original packages.
Under the license, no liquor shall be consumed on the premises except as
authorized by the commission. Of this class, there shall be the following
kinds:

(1) General (includes all liquor except alcohol);

(2) Beer and wine; and

(3) Alcohol.

(f) Class 5. Dispenser license.

(1) A license under this class shall authorize the
licensee to sell liquor specified in this subsection for consumption on the
premises. A licensee under this class shall be issued a license according to
the category of establishment the licensee owns or operates. The categories of
establishments shall be as follows:

(A) A standard bar;

(B) Premises in which a person performs or
entertains unclothed or in attire restricted to use by entertainers pursuant to
commission rules;

(C) Premises in which live entertainment or
recorded music is provided; provided that facilities for dancing by the patrons
may be permitted as provided by commission rules; or

(D) Premises in which employees or
entertainers are compensated to sit with patrons, regardless of whether the
employees or entertainers are consuming nonalcoholic beverages while in the
company of the patrons pursuant to commission rules.

(2) If a licensee under class 5 desires to change the
category of establishment the licensee owns or operates, the licensee shall
apply for a new license applicable to the category of the licensee's
establishment.

(3) Of this class, there shall be the following
kinds:

(A) General (includes all liquor except
alcohol);

(B) Beer and wine; and

(g) Class 6. Club license. A club license
shall be general only (but excluding alcohol) and shall authorize the licensee
to sell liquor to members of the club and to guests of the club enjoying the
privileges of membership, for consumption only on the premises kept and
operated by the club; provided that the license shall also authorize any club
member to keep in the member's private locker on the premises a reasonable
quantity of liquor, if owned by the member, for the member's own personal use
and not to be sold and that may be consumed only on the premises. A club
licensee shall be authorized to host charitable functions that are open to the
general public only pursuant to commission rules.

The categories of establishment shall be as
follows:

(1) A standard bar; or

(2) Premises in which live entertainment or recorded
music is provided. Facilities for dancing by the patrons may be permitted as
provided by commission rules.

(h) Class 8. Transient vessel license. A
general license may be granted to the owner of any vessel for the sale of
liquor (other than alcohol) on board the vessel while en route within the
jurisdictional limits of the State and within any port of the State. Sales
shall be made only for consumption by passengers and their guests on board the
vessel. The license shall be issuable in each county where the sales are to be
made; provided that the application for the license may be made by any agent
representing the owner.

(i) Class 9. Tour or cruise vessel license.
A general license may be granted to the owner of any tour or cruise vessel for
the sale of liquor (other than alcohol) on board the vessel while in the waters
of the State; provided that sales be made only for consumption by passengers on
board while the vessel is in operation outside the port or dock of any island
of the State, unless otherwise approved by the county where the license has
been issued. The license shall be issuable in the county wherein the home port
is situated. If, on any vessel for which no license has been obtained under this
chapter, any liquor is sold or served within three miles of the shore of any
island of the State, it shall constitute a violation of this chapter.

The categories of establishment shall be as
follows:

(1) A standard bar; or

(2) Premises in which live entertainment or recorded
music is provided. Facilities for dancing by the patrons may be permitted as
provided by commission rules.

(j) Class 10. Special license. A special
license may be granted for the sale of liquor for a period not to exceed three days
and pursuant to commission rule may be approved by the administrator for
fundraising events by nonprofit organizations, political candidates, and
political parties; provided that any registered educational or charitable
nonprofit organization may sell liquors in their original packages for
off-premises consumption. Of this class, there shall be the following kinds:

(1) General (includes all liquor except alcohol);

(2) Beer and wine; and

(3) Beer.

Under this license, the liquor therein specified shall
be consumed on the premises.

(k) Class 11. Cabaret license. A cabaret
license shall be general only (but excluding alcohol) and shall authorize the
sale of liquor for consumption on the premises. This license shall be issued
only for premises where food is served, facilities for dancing by the patrons
are provided, including a dance floor, and live or amplified recorded music or
professional entertainment, except professional entertainment by a person who
performs or entertains unclothed, is provided for the patrons; provided that
professional entertainment by persons who perform or entertain unclothed shall
be authorized by:

(1) A cabaret license for premises where professional
entertainment by persons who perform or entertain unclothed was presented on a
regular and consistent basis immediately prior to June 15, 1990; or

(2) A cabaret license that, pursuant to rules adopted
by the liquor commission, permits professional entertainment by persons who
perform or entertain unclothed.

A cabaret license under paragraph (1) or (2)
authorizing professional entertainment by persons who perform or entertain
unclothed shall be transferable through June 30, 2000. A cabaret license under
paragraph (1) or (2) authorizing professional entertainment by persons who
perform or entertain unclothed shall not be transferable after June 30, 2000,
except when the transferee obtains approval from the liquor commission, and
pursuant to rules adopted by the commission. Notwithstanding any rule of the
liquor commission to the contrary, cabarets in resort areas may be opened for
the transaction of business until 4 a.m. throughout the entire week.

(l) Class 12. Hotel license. A license to
sell liquor in a hotel shall authorize the licensee to provide entertainment
and dancing on the hotel premises and to sell all liquor, except alcohol, for
consumption on the premises; provided that a hotel licensee, with commission
approval, may provide off-premises catering of food and liquor, if the catering
activity is directly related to the licensee's food service.

Procedures such as room service, self-service
(no-host), minibars or similar service in guest rooms, and service at parties
in areas that are the property of and contiguous to the hotel, are permitted
with commission approval.

Any licensee who would otherwise fall within
the hotel license class but holds a different class of license may be required
to apply for a hotel license.

If the licensee applies for a change of
classification prior to July 30, 1992, the licensee shall not be subject to the
requirements of sections 281-52, 281-54, and 281-57 through 281‑59.

Any licensee holding a class 12 license on
May 1, 2007, and who would otherwise come within this class of license may
apply to the liquor commission in which the licensee is seeking a change in
liquor license for a change to a class 15 license; provided that the licensee
shall not be subject to the requirements of section 281-54 and sections 281-57
to 281-60.

If a licensee holding a class 12 license on
May 1, 2007, applies for a change to a class 15 license, the respective
liquor commission shall hold a public hearing upon notice, and upon the day of
hearing, or any adjournment thereof, the liquor commission shall consider the
application, accept all written or oral testimony for or against the
application, and render its decision granting or refusing the application. If
the application is denied, the class 12 license shall continue in effect in
accordance with law.

(m) Class 13. Caterer license. A general
license may be granted to any applicant who serves food as part of their
operation for the sale of liquor (other than alcohol) while performing food
catering functions off the premises.

No catering service for the sale of liquor
shall be performed off the licensee's premises, unless prior written notice of
the service has been delivered to the office of the liquor commission of the
county concerned. The notice shall state the date, time, and location of the
proposed event and shall include a written statement signed by the owner or
representative of the property that the function will be subject to the liquor
laws and to inspection by investigators.

(n) Class 14. Brewpub license. A brewpub
licensee:

(1) Shall manufacture not more than ten thousand
barrels of malt beverages on the licensee's premises during the license year;

(2) May sell malt beverages manufactured on the
licensee's premises for consumption on the premises;

(3) May sell malt beverages manufactured by the
licensee in brewery-sealed packages to class 3 wholesale dealer licensees
pursuant to conditions imposed by the county by ordinance or rule;

(4) May sell intoxicating liquor, purchased from a
class 1 manufacturer licensee, or a class 3 wholesale dealer licensee, to
consumers for consumption on the licensee's premises. The categories of
establishments shall be as follows:

(A) A standard bar; or

(B) Premises in which live entertainment or
recorded music is provided. Facilities for dancing by the patrons may be
permitted as provided by commission rules;

(5) May sell malt beverages manufactured on the
licensee's premises to consumers in brewery-sealed kegs and growlers for
off-premises consumption; provided that for purposes of this paragraph,
"growler" means a glass container, not to exceed one half-gallon,
which shall be securely sealed;

(6) May sell malt beverages manufactured on the
licensee's premises to consumers, in recyclable containers that may be provided
by the licensee or by the consumer, not to exceed one gallon per container,
which are securely sealed on the licensee's premises, for off-premises
consumption;

(7) Shall comply with all regulations pertaining to
class 4 retail dealer licensees when engaging in the retail sale of malt
beverages; and

(8) May sell malt beverages manufactured on the
licensee's premises in brewery-sealed containers directly to class 2 restaurant
licensees, class 3 wholesale dealer licensees, class 4 retail dealer licensees,
class 5 dispenser licensees, class 6 club licensees, class 8 transient vessel
licensees, class 9 tour or cruise vessel licensees, class 10 special licensees,
class 11 cabaret licensees, class 12 hotel licensees, class 13 caterer
licensees, and class 15 condominium hotel licensees, pursuant to conditions
imposed by county regulations governing class 1 manufacturer licensees and
class 3 wholesale dealer licensees.

(o) Class 15. Condominium hotel license. A
license to sell liquor in a condominium hotel shall authorize the licensee to
provide entertainment and dancing on the condominium hotel premises and to sell
all liquor, except alcohol, for consumption on the premises; provided that a
condominium hotel licensee, with commission approval, may provide off-premises
catering; provided further that the catering activity is directly related to
the licensee's operation as a condominium hotel.

Procedures such as room service, self-service
(no-host), minibars or similar service in apartments, and service at private
parties in areas that are the property of and contiguous to the condominium
hotel, are permitted with commission approval.

A condominium hotel licensee shall not sell
liquor in the manner authorized by a class 4 retail [dealer] license.

Any licensee who would otherwise fall within
the condominium hotel license class but holds a different class of license may
be required to apply for a condominium hotel license.

(p) Class 16. Winery license. A winery
licensee:

(1) Shall manufacture not more than ten thousand
barrels of wine on the licensee's premises during the license year;

(2) May sell wine manufactured on the licensee's
premises for consumption on the premises;

(3) May sell wine manufactured by the licensee in
winery-sealed packages to class 3 wholesale dealer licensees pursuant to
conditions imposed by the county by ordinance or rule;

(4) May sell wine manufactured on the licensee's
premises to consumers in winery-sealed kegs and magnums for off-premises
consumption; provided that for purposes of this paragraph, "magnum"
means a glass container, not to exceed one half-gallon, which may be securely
sealed;

(5) May sell wine manufactured on the licensee's
premises to consumers, in recyclable containers that may be provided by the
licensee or by the consumer, not to exceed one gallon per container, which are
securely sealed on the licensee's premises, for off-premises consumption;

(6) Shall comply with all rules pertaining to class 4
retail dealer licensees when engaging in the retail sale of wine; and

(7) May sell wine manufactured on the licensee's
premises in winery-sealed containers directly to class 2 restaurant licensees,
class 3 wholesale dealer licensees, class 4 retail dealer licensees, class 5
dispenser licensees, class 6 club licensees, class 8 transient vessel
licensees, class 9 tour or cruise vessel licensees, class 10 special licensees,
class 11 cabaret licensees, class 12 hotel licensees, class 13 caterer
licensees, class 14 brewpub licensees, and class 15 condominium hotel
licensees, pursuant to conditions imposed by county planning and public works
departments and rules governing class 3 wholesale dealer licensees.

(q) Restaurants, retailers, dispensers, clubs,
cabarets, hotels, caterers, brewpubs, and condominium hotels licensed under
class 2, class 4, class 5, class 6, class 11, class 12, class 13, class 14, and
class 15 shall maintain at all times liquor liability insurance coverage in an
amount of $1,000,000. Proof of coverage shall be kept on the premises and
shall be made available for inspection by the commission at any time during the
licensee's regular business hours. In the event of a licensee's failure to
obtain or maintain the required coverage, the commission shall refuse to issue
or renew a license, or shall suspend or terminate the license as appropriate.
No license shall be granted, reinstated, or renewed until after the required
insurance coverage is obtained.

(r) It shall be unlawful for any retail
licensee, except a class 10 licensee, to purchase, acquire, or sell liquor from
any person other than a wholesaler licensed pursuant to this chapter, except as
otherwise provided in this section.

(s) Any provision to the contrary
notwithstanding, at the discretion of the county liquor commission, permission
may be granted to a bona fide hotel, restaurant, or club licensed under class
2, class 6, class 11, class 12, class 14, class 15, or class 16 to allow a
patron to remove from the licensed premises any portion of wine that was
purchased for consumption with a meal; provided that it is recorked or resealed
in its original container. This subsection applies only to a valid holder of a
class 2, class 6, class 11, class 12, class 14, class 15, or class 16 license
engaged in meal service.

(t) Sections 281-57 to 281-60 shall not apply
to classes 8 through 10 and 13. [L Sp 1933, c 40, §11; RL 1935, §2580; am L
1935, c 105, §§6 to 8; am L 1937, c 211, §6; am L 1939, c 71, §§1, 2 and c 205,
pt of §1; RL 1945, §7232; am L 1947, c 148, §1; am L 1955, c 263, §2; RL 1955,
§159-30; am L 1961, c 89, §1 and c 90, §1; am L 1965, c 181, §1; am L 1967, c 172,
§1; HRS §281-31; am L 1969, c 133, §1 and c 198, §1; am L 1970, c 5, §2; am L
1976, c 87, §2; am L 1978, c 25, §1; am L 1980, c 199, §2; am L 1981, c 60, §1;
am L 1982, c 183, §1; am L 1983, c 292, §1; am L 1984, c 269, §1; gen ch 1985;
am L 1988, c 383, §3; am L 1990, c 171, §9; am L 1991, c 196, §1; am L 1994, c
174, §2; am L 1995, c 38, §2; am L 1996, c 55, §1; am L 1997, c 57, §2; am L
1998, c 75, §2; am L 1999, c 69, §1; am L 2001, c 55, §11; am L 2002, c 16, §12
and c 49, §2; am L 2004, c 200, §1; am L 2005, c 145, §1; am L 2007, c 53, §§3,
7; am L 2008, c 163, §1 and c 168, §5; am L 2009, c 177, §1 and c 184, §6]

Revision Note

"May 1, 2007," substituted for "the effective
date of this Act".

Case Notes

Cited: 35 H. 788, 790.