State Codes and Statutes
Statutes > Utah > Title-32a > Chapter-05 > 32a-5-107-repealed-07-01-1132A-5-107 (Repealed 07/01/11). Operational restrictions.
A person granted a club license and the employees, management personnel, and membersof an equity club licensee or fraternal club licensee shall comply with the following conditionsand requirements. Failure to comply may result in a suspension or revocation of the club licenseor other disciplinary action taken against individual employees or management personnel.
(1) An equity club licensee or fraternal club licensee shall comply with the following:
(a) A club licensee shall have a governing body that:
(i) consists of three or more members of the club; and
(ii) holds regular meetings to:
(A) review membership applications; and
(B) conduct other business as required by the bylaws or house rules of the club.
(b) A club licensee may admit an individual as a member only on written applicationsigned by the applicant, subject to:
(i) the applicant paying an application fee; and
(ii) investigation, vote, and approval of a quorum of the governing body.
(c) A club licensee shall:
(i) record an admission of a member in the official minutes of a regular meeting of thegoverning body; and
(ii) whether approved or disapproved, file an application as a part of the official recordsof the club licensee.
(d) The spouse of a member of a club licensee has the rights and privileges of themember:
(i) to the extent permitted by the bylaws or house rules of the club licensee; and
(ii) except to the extent restricted by this title.
(e) A minor child of a member of a club licensee has the rights and privileges of themember:
(i) to the extent permitted by the bylaws or house rules of the club licensee; and
(ii) except to the extent restricted by this title.
(f) A club licensee shall maintain a current and complete membership record showing:
(i) the date of application of a proposed member;
(ii) a member's address;
(iii) the date the governing body approved a member's admission;
(iv) the date initiation fees and dues are assessed and paid; and
(v) the serial number of the membership card issued to a member.
(g) A club licensee shall keep a current record indicating when a member is removed as amember or resigns.
(h) A club licensee shall establish in the club licensee's bylaws or house rules applicationfees and membership dues.
(i) A club licensee may, in its discretion, allow an individual to be admitted to or use theclub license premises as a guest subject to the following conditions:
(i) the individual is allowed to use the club license premises only to the extent permittedby the club licensee's bylaws or house rules;
(ii) the individual must be previously authorized by a member of the club who agrees tohost the individual as a guest into the club;
(iii) the individual has only those privileges derived from the individual's host for the
duration of the individual's visit to the club license premises; and
(iv) a club licensee or an employee of the club licensee may not enter into an agreementor arrangement with a club member to indiscriminately host a member of the general public intothe club license premises as a guest.
(j) Notwithstanding Subsection (1)(i), an individual may be allowed as a guest in a clublicense premises without a host if:
(i) (A) the club licensee is an equity club licensee; and
(B) the individual is a member of an equity club licensee that has reciprocal guestprivileges with the equity club licensee for which the individual is a guest; or
(ii) (A) the club licensee is a fraternal club licensee; and
(B) the individual is a member of the same fraternal organization as the fraternal clublicensee for which the individual is a guest.
(k) A club licensee may not sell an alcoholic beverage to or allow a patron to be admittedto or use the club license premises other than:
(i) a member; or
(ii) a guest under Subsection (1)(i) or (j).
(l) A minor may not be a member, officer, director, or trustee of a club licensee.
(m) (i) A club licensee shall maintain a minute book that is posted currently by the clublicensee.
(ii) The minute book required by this Subsection (1)(m) shall contain the minutes of aregular or special meeting of the governing body.
(n) A club licensee shall maintain a membership list.
(o) A club licensee shall maintain a current copy of the club licensee's current bylaws andcurrent house rules.
(p) Public advertising related to a club licensee by the following shall clearly identify aclub as being "a club for members":
(i) the club licensee;
(ii) an employee or agent of the club licensee; or
(iii) a person under a contract or agreement with the club licensee.
(2) (a) A minor may not be admitted into, use, or be on:
(i) a lounge or bar area, as defined by commission rule, of the premises of:
(A) an equity club licensee;
(B) a fraternal club licensee; or
(C) a dining club licensee; or
(ii) the premises of:
(A) a dining club licensee unless accompanied by an individual who is 21 years of age orolder; or
(B) a social club licensee, except to the extent provided for under Subsection (2)(d).
(b) (i) Except as provided in Subsection (2)(b)(ii), a club licensee may not employ aminor to:
(A) sell, dispense, or handle an alcoholic beverage; or
(B) work in a lounge or bar area of an equity club licensee, fraternal club licensee, ordining club licensee.
(ii) An equity club licensee or dining club licensee may employ a minor who is at least16 years of age to enter the sale at a cash register or other sales recording device, except that a
minor may not work in a lounge or bar area of the club licensee.
(c) A minor may not be employed on the premises of a social club licensee.
(d) (i) A minor who is at least 18 years of age may be admitted into, use, or be on thepremises of a dance or concert hall if:
(A) the dance or concert hall is located:
(I) on the premises of a social club licensee; or
(II) on the property that immediately adjoins the premises of and is operated by a socialclub licensee; and
(B) the social club licensee holds a permit to operate a dance or concert hall that wasgranted on or before May 11, 2009:
(I) on the basis of the operational requirements described in Subsection (2)(d)(ii); and
(II) when the social club licensee was licensed as a class D private club.
(ii) A social club licensee that holds a dance or concert hall permit shall operate in such away that:
(A) the social club licensee's lounge, bar, or other area for alcoholic beverageconsumption is:
(I) not accessible to a minor;
(II) clearly defined; and
(III) separated from the dance or concert hall area by one or more walls, multiple floorlevels, or other substantial physical barriers;
(B) a bar or dispensing area is not visible to a minor;
(C) consumption of an alcoholic beverage may not occur in:
(I) the dance or concert hall area; or
(II) an area of the social club license premises accessible to a minor;
(D) the social club licensee maintains sufficient security personnel to prevent the passingof beverages from the social club licensee's lounge, bar, or other area for alcoholic beverageconsumption to:
(I) the dance or concert hall area; or
(II) an area of the social club license premises accessible to a minor;
(E) there are one or more separate entrances, exits, and restroom facilities from the socialclub licensee's lounge, bar, or other area for alcoholic beverage consumption than for:
(I) the dance or concert hall area; or
(II) an area accessible to a minor; and
(F) the social club licensee complies with any other restrictions imposed by thecommission by rule.
(iii) A minor under 18 years of age who is accompanied at all times by a parent or legalguardian may be admitted into, use, or be on the premises of a concert hall described inSubsection (2)(d)(ii) if:
(A) the requirements of Subsection (2)(d) are met; and
(B) signage, product, and dispensing equipment containing recognition of an alcoholicbeverage is not visible to the minor.
(iv) A minor under 18 years of age but who is 14 years of age or older who is notaccompanied by a parent or legal guardian may be admitted into, use, or be on the premises of aconcert hall described in Subsection (2)(d)(ii) if:
(A) the requirements of Subsections (2)(d)(ii) and (iii) are met; and
(B) there is no alcoholic beverage, sales, service, or consumption on the premises of thesocial club licensee.
(v) The commission may suspend or revoke a dance or concert permit issued to a socialclub licensee and suspend or revoke the license of the social club licensee if:
(A) the social club licensee fails to comply with the restrictions in this Subsection (2)(d);
(B) the social club licensee sells, serves, or otherwise furnishes an alcoholic beverage toa minor;
(C) the social club licensee or a supervisory or managerial level employee of the socialclub licensee is convicted under Title 58, Chapter 37, Utah Controlled Substances Act, on thebasis of an activity that occurs on:
(I) the licensed premises; or
(II) the dance or concert hall that is located on property that immediately adjoins thepremises of and is operated by the social club licensee;
(D) there are three or more convictions of patrons of the social club licensee under Title58, Chapter 37, Utah Controlled Substances Act, on the basis of activities that occur on:
(I) the licensed premises; or
(II) the dance or concert hall that is located on property that immediately adjoins thepremises of and is operated by the social club licensee;
(E) there is more than one conviction:
(I) of:
(Aa) the social club licensee;
(Bb) an employee of the social club licensee;
(Cc) an entertainer contracted by the social club licensee; or
(Dd) a patron of the social club licensee; and
(II) made on the basis of a lewd act or lewd entertainment prohibited by this title thatoccurs on:
(Aa) the licensed premises; or
(Bb) the dance or concert hall that is located on property that immediately adjoins thepremises of and is operated by the social club licensee; or
(F) the commission finds acts or conduct contrary to the public welfare and moralsinvolving lewd acts or lewd entertainment prohibited by this title that occurs on:
(I) the licensed premises; or
(II) the dance or concert hall that is located on property that immediately adjoins thepremises of and is operated by the social club licensee.
(vi) Nothing in this Subsection (2) prohibits a social club licensee from selling, serving,or otherwise furnishing an alcoholic beverage in a dance or concert area located on the socialclub license premises on days and times when the social club licensee does not allow a minorinto those areas.
(e) Nothing in this Subsection (2) precludes a local authority from being more restrictiveof a minor's admittance to, use of, or presence on the premises of a club licensee.
(3) (a) A club license shall maintain an expense ledger or record showing in detail:
(i) quarterly expenditures separated by payments for:
(A) malt or brewed beverages;
(B) liquor;
(C) food;
(D) set-ups; and
(E) any other item required by the department; and
(ii) sales made separately for:
(A) malt or brewed beverages;
(B) liquor;
(C) food;
(D) set-ups; and
(E) any other item required by the department.
(b) A club licensee shall keep a record required by this Subsection (3):
(i) in a form approved by the department; and
(ii) current for each three-month period.
(c) An expenditure of a club licensee shall be supported by:
(i) a delivery ticket;
(ii) an invoice;
(iii) a receipted bill;
(iv) a canceled check;
(v) a petty cash voucher; or
(vi) other sustaining datum or memorandum.
(d) In addition to a ledger or record required by Subsection (3)(a), a club licensee shallmaintain accounting and other records and documents as the department may require.
(e) A club licensee or person acting for the club licensee, who knowingly forges,falsifies, alters, cancels, destroys, conceals, or removes an entry in a book of account or otherdocument of the club licensee required to be made, maintained, or preserved by this title or therules of the commission for the purpose of deceiving the commission, the department, or anofficial or employee of the commission or department, is subject to:
(i) the suspension or revocation of the club license; and
(ii) possible criminal prosecution under Chapter 12, Criminal Offenses.
(f) A club licensee shall maintain and keep a record required by this section and a book,record, receipt, or disbursement maintained or used by the club licensee, as the departmentrequires, for a minimum period of three years.
(g) A record, book, receipt, or disbursement is subject to inspection by an authorizedrepresentative of the commission and the department.
(h) A club licensee shall allow the department, through an auditor or examiner of thedepartment, to audit the records of the club licensee at times the department considers advisable.
(i) The department shall audit the records of the club licensee at least once annually.
(4) (a) A club licensee shall own or lease premises suitable for the club licensee'sactivities.
(b) A club licensee may not maintain premises in a manner that barricades or concealsthe club licensee's operation.
(c) A member of the commission, authorized department personnel, or a peace officershall, upon presentation of credentials, be admitted immediately to the club license premises andpermitted without hindrance or delay to inspect completely the entire club license premises andthe books and records of the club licensee, at any time during which the club licensee is open forthe transaction of business to its members.
(5) A club licensee must have food available at all times when an alcoholic beverage is
sold, served, or consumed on the premises.
(6) (a) A club licensee may not purchase liquor except from a state store or packageagency.
(b) Liquor purchased from a state store or package agency may be transported by the clublicensee from the place of purchase to the licensed premises.
(c) Payment for liquor shall be made in accordance with rules established by thecommission.
(7) A club licensee may sell or provide a primary spirituous liquor only in a quantity notto exceed 1.5 ounces per beverage dispensed through a calibrated metered dispensing systemapproved by the department in accordance with commission rules adopted under this title, exceptthat:
(a) spirituous liquor need not be dispensed through a calibrated metered dispensingsystem if used as a secondary flavoring ingredient in a beverage subject to the followingrestrictions:
(i) the secondary ingredient may be dispensed only in conjunction with the purchase of aprimary spirituous liquor;
(ii) the secondary ingredient may not be the only spirituous liquor in the beverage;
(iii) the club licensee shall designate a location where flavorings are stored on the floorplan provided to the department; and
(iv) a flavoring container shall be plainly and conspicuously labeled "flavorings";
(b) spirituous liquor need not be dispensed through a calibrated metered dispensingsystem if used:
(i) as a flavoring on a dessert; and
(ii) in the preparation of a flaming food dish, drink, or dessert;
(c) a club licensee patron may have no more than 2.5 ounces of spirituous liquor at a timebefore the club licensee patron; and
(d) a club licensee patron may have no more than two spirituous liquor drinks at a timebefore the club licensee patron, except that a club licensee patron may not have two spirituousliquor drinks before the club licensee patron if one of the spirituous liquor drinks consists only ofthe primary spirituous liquor for the other spirituous liquor drink.
(8) (a) (i) Wine may be sold and served by the glass or an individual portion not toexceed five ounces per glass or individual portion.
(ii) An individual portion may be served to a patron in more than one glass as long as thetotal amount of wine does not exceed five ounces.
(iii) An individual portion of wine is considered to be one alcoholic beverage underSubsection (12)(c).
(b) (i) Wine may be sold and served in a container not exceeding 1.5 liters at a pricefixed by the commission to a table of four or more persons.
(ii) Wine may be sold and served in a container not exceeding 750 milliliters at a pricefixed by the commission to a table of less than four persons.
(c) A wine service may be performed and a service charge assessed by the club licenseeas authorized by commission rule for wine purchased at the club license premises.
(9) (a) Heavy beer may be served in an original container not exceeding one liter at aprice fixed by the commission.
(b) A flavored malt beverage may be served in an original container not exceeding one
liter at a price fixed by the commission.
(c) A service charge may be assessed by the club licensee for heavy beer or a flavoredmalt beverage purchased at the club license premises.
(10) (a) (i) Subject to Subsection (10)(a)(ii), a club licensee may sell beer for on-premiseconsumption:
(A) in an open container; and
(B) on draft.
(ii) Beer sold pursuant to Subsection (10)(a)(i) shall be in a size of container that doesnot exceed two liters, except that beer may not be sold to an individual patron in a size ofcontainer that exceeds one liter.
(b) (i) A club licensee that sells beer pursuant to Subsection (10)(a):
(A) may do so without obtaining a separate on-premise beer retailer license from thecommission; and
(B) shall comply with all appropriate operational restrictions under Chapter 10, BeerRetailer Licenses, that apply to an on-premise beer retailer except when those restrictions areinconsistent with or less restrictive than the operational restrictions under this chapter.
(ii) Failure to comply with the operational restrictions under Chapter 10, Beer RetailerLicenses, required by Subsection (10)(b)(i) may result in a suspension or revocation of the clublicensee's:
(A) state liquor license; and
(B) alcoholic beverage license issued by the local authority.
(11) An alcoholic beverage may not be stored, served, or sold in a place other than asdesignated in the club licensee's application, unless the club licensee first applies for and receivesapproval from the department for a change of location within the club license.
(12) (a) A patron may only make an alcoholic beverage purchase in the club licensepremises from and be served by a person employed, designated, and trained by the club licenseeto sell, dispense, and serve an alcoholic beverage.
(b) Notwithstanding Subsection (12)(a), a patron who purchases bottled wine from anemployee of the club licensee or carries bottled wine onto the premises of the club licenseepursuant to Subsection (18) may thereafter serve wine from the bottle to the patron or others atthe patron's table.
(c) A club licensee patron may have no more than two alcoholic beverages of any kind ata time before the club licensee patron, subject to the limitation of Subsection (7)(d).
(13) The liquor storage area shall remain locked at all times other than those hours anddays when liquor sales and service are authorized by law.
(14) (a) Liquor may not be sold, offered for sale, served, or otherwise furnished at a clublicense premises on any day after 1 a.m. or before 10 a.m.
(b) The hours of beer sales and service are those specified in Chapter 10, Beer RetailerLicenses, for on-premise beer licenses.
(c) (i) Notwithstanding Subsections (14)(a) and (b), a club license premises shall remainopen for one hour after the club licensee ceases the sale and service of an alcoholic beverageduring which time a patron of the club licensee may finish consuming:
(A) a single drink containing spirituous liquor;
(B) a single serving of wine not exceeding five ounces;
(C) a single serving of heavy beer;
(D) a single serving of beer not exceeding 26 ounces; or
(E) a single serving of a flavored malt beverage.
(ii) A club licensee is not required to remain open:
(A) after all patrons have vacated the premises; or
(B) during an emergency.
(d) Between the hours of 2 a.m. and 10 a.m. on any day a club licensee may not allow apatron to remain on the premises of the club licensee to consume an alcoholic beverage on thepremises.
(15) An alcoholic beverage may not be sold, served, or otherwise furnished to a:
(a) minor;
(b) person actually, apparently, or obviously intoxicated;
(c) known habitual drunkard; or
(d) known interdicted person.
(16) (a) (i) Liquor may be sold only at a price fixed by the commission.
(ii) Liquor may not be sold at a discount price on any date or at any time.
(b) An alcoholic beverage may not be sold at less than the cost of the alcoholic beverageto the club licensee.
(c) An alcoholic beverage may not be sold at a special or reduced price that encouragesover consumption or intoxication.
(d) The price of a single serving of a primary spirituous liquor shall be the same whetherserved as a single drink or in conjunction with another alcoholic beverage.
(e) An alcoholic beverage may not be sold at a special or reduced price for only certainhours of the club licensee's business day such as a "happy hour."
(f) More than one alcoholic beverage may not be sold or served for the price of a singlealcoholic beverage.
(g) An indefinite or unlimited number of alcoholic beverages may not be sold or servedduring a set period for a fixed price.
(h) A club licensee may not engage in a promotion involving or offering free alcoholicbeverages to patrons of the club licensee.
(17) An alcoholic beverage may not be purchased for a patron of the club licensee by:
(a) the club licensee; or
(b) an employee or agent of the club licensee.
(18) (a) A person may not bring onto the premises of a club licensee an alcoholicbeverage for on-premise consumption, except a person may bring, subject to the discretion of theclub licensee, bottled wine onto the premises of a club licensee for on-premise consumption.
(b) Except bottled wine under Subsection (18)(a), a club licensee or an officer, manager,employee, or agent of a club licensee may not allow:
(i) a person to bring onto the club license premises an alcoholic beverage forconsumption on the club license premises; or
(ii) consumption of an alcoholic beverage described in Subsection (18)(b)(i) on thepremises of the club licensee.
(c) If bottled wine is carried in by a patron, the patron shall deliver the wine to a server orother representative of the club licensee upon entering the club license premises.
(d) A wine service may be performed and a service charge assessed by the club licenseeas authorized by commission rule for wine carried in by a patron.
(19) (a) Except as provided in Subsection (19)(b), a club licensee or an employee of theclub licensee may not permit a patron of the club licensee to carry from the club license premisesan open container that:
(i) is used primarily for drinking purposes; and
(ii) contains an alcoholic beverage.
(b) A patron may remove the unconsumed contents of a bottle of wine if before removal,the bottle is recorked or recapped.
(20) An employee of a club licensee, while on duty, may not:
(a) consume an alcoholic beverage; or
(b) be intoxicated.
(21) A club licensee shall have available on the premises for a patron to review at thetime that the patron requests it, a written alcoholic beverage price list or a menu containing theprice of an alcoholic beverage sold or served by the club licensee including:
(a) a set-up charge;
(b) a service charge; or
(c) a chilling fee.
(22) A club licensee shall display in a prominent place in the club license premises:
(a) the club license that is issued by the department;
(b) a list of the types and brand names of liquor being served through the club licensee'scalibrated metered dispensing system; and
(c) a sign in large letters stating: "Warning: Driving under the influence of alcohol ordrugs is a serious crime that is prosecuted aggressively in Utah."
(23) A club licensee may not on the premises of the club licensee:
(a) engage in or permit any form of gambling, as defined and proscribed in Title 76,Chapter 10, Part 11, Gambling;
(b) have any video gaming device, as defined and proscribed in Title 76, Chapter 10, Part11, Gambling; or
(c) engage in or permit a contest, game, gaming scheme, or gaming device that requiresthe risking of something of value for a return or for an outcome when the return or outcome isbased upon an element of chance, excluding the playing of an amusement device that confersonly an immediate and unrecorded right of replay not exchangeable for value.
(24) (a) A club licensee may not close or cease operation for a period longer than 240hours, unless:
(i) the club licensee notifies the department in writing at least seven days before the dayon which the club licensee closes or ceases operation; and
(ii) the closure or cessation of operation is first approved by the department.
(b) Notwithstanding Subsection (24)(a), in the case of emergency closure, the clublicensee shall immediately notify the department by telephone.
(c) (i) The department may authorize a closure or cessation of operation for a period notto exceed 60 days.
(ii) The department may extend the initial period an additional 30 days upon:
(A) written request of the club licensee; and
(B) a showing of good cause.
(iii) A closure or cessation of operation may not exceed a total of 90 days withoutcommission approval.
(d) The notice required by Subsection (24)(a) shall include:
(i) the dates of closure or cessation of operation;
(ii) the reason for the closure or cessation of operation; and
(iii) the date on which the club licensee will reopen or resume operation.
(e) Failure of the club licensee to provide notice and to obtain department authorizationbefore closure or cessation of operation results in an automatic forfeiture of:
(i) the club license; and
(ii) the unused portion of the club license fee for the remainder of the license yeareffective immediately.
(f) Failure of the club licensee to reopen or resume operation by the approved date resultsin an automatic forfeiture of:
(i) the club license; and
(ii) the unused portion of the club license fee for the remainder of the license year.
(25) A club license may not be transferred from one location to another location, withoutprior written approval of the commission.
(26) (a) A club licensee, may not sell, transfer, assign, exchange, barter, give, or attemptin any way to dispose of the club license to another person, whether for monetary gain or not.
(b) A club license has no monetary value for the purpose of any type of disposition.
(27) Subject to Subsections (25) and (26), a club licensee may not temporarily rent orotherwise temporarily lease its premises to a person unless:
(a) the person to whom the club licensee rents or leases the premises agrees in writing tocomply with this section as if the person is the club licensee, except for a requirement related tomaintaining a book, document, or similar record; and
(b) the club licensee takes reasonable steps to ensure that the person complies with thissection as provided in Subsection (26)(a).
(28) A dining club licensee or social club licensee shall comply with Section32A-1-304.5.
(29) A club licensee or an employee of the club licensee may not knowingly allow aperson on the licensed premises to, in violation of Title 58, Chapter 37, Utah ControlledSubstances Act, or Chapter 37a, Utah Drug Paraphernalia Act:
(a) sell, distribute, possess, or use a controlled substance, as defined in Section 58-37-2;or
(b) use, deliver, or possess with the intent to deliver drug paraphernalia, as defined inSection 58-37a-3.
Repealed by Chapter 276, 2010 General Session
Amended by Chapter 356, 2009 General Session
Amended by Chapter 383, 2009 General Session
