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Food-Primary Licence TERMS and CONDITIONS A GUIDE FOR LIQUOR LICENSEES IN BRITISH COLUMBIA Updated June 2007

Food-Primary Licence: Terms and Conditions - A Guide …€¦ · Food-Primary Licence Terms and Conditions A GUIDE FOR LIQUOR LICENSEES IN BRITISH COLUMBIA TABLE OF CONTENTS Introduction

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Page 1: Food-Primary Licence: Terms and Conditions - A Guide …€¦ · Food-Primary Licence Terms and Conditions A GUIDE FOR LIQUOR LICENSEES IN BRITISH COLUMBIA TABLE OF CONTENTS Introduction

Food-Primary Licence

TERMS and CONDITIONS

A GUIDE FORLIQUOR LICENSEES

IN BRITISH COLUMBIA

Updated June 2007

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This guide . . . provides essential information for anyone holding a food-primarylicence (a licence to serve liquor in a restaurant). This informationdoes not apply to all licence classes.

Separate guides are available for those holding liquor-primary,licensee retail store, UBrew/UVin, manufacturers' and winerylicences.

You can request copies of the other guides by contacting us ordownloading them from the provincial government website:

Phone (toll free): 1 866 209 2111E-mail: [email protected]: www.gov.bc.ca/pssg (under “Liquor Licensing”)

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Food-Primary LicenceTerms and Conditions

A GUIDE FOR LIQUOR LICENSEES IN BRITISH COLUMBIA

TABLE OF CONTENTS Introduction . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .1

This Guide . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .1Definitions Used in This Guide . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .1Updates . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .2Help is Available . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .2

Background: Who is Responsible for What . . . . . . . . . . . . . . . . . . . . . . . . . . .3The Liquor Control and Licensing Branch . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .3Your Role as a Licensee . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .3The Role of the Liquor Inspector . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .3The Role of Police . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .4The Role of Local Government and First Nations . . . . . . . . . . . . . . . . . . . . . . . . . .4

The Nature of Your Business . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .5Differences Between a Food-Primary and a Liquor-Primary Licence . . . . . . . . . . . . .5Making Sure You Operate Your Establishment as a Restaurant . . . . . . . . . . . . . . .5Physical Layout of Your Restaurant . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .6

If you hold both a food-primary and a liquor-primary licence . . . . . . . . . . . . . . . .6If you hold a restaurant lounge endorsement . . . . . . . . . . . . . . . . . . . . . . . . . .6If you offer games or adult entertainment . . . . . . . . . . . . . . . . . . . . . . . . . . . .7

Managing Your Business . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .8Posting Your Licence . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .8Storing Your Floor Plans . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .8Renewing Your Licence . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .8Providing Information to the Branch . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .8Making Changes to Your Liquor Licence . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .8Selling Your Business and Transferring Your Licence to a New Owner . . . . . . . . . . .8Buying, Storing, Selling and Serving Liquor . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .9

Buying liquor . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .9Maintaining a liquor register . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .9Illicit or private liquor . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .9Hours of sale . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .9Dispensing liquor and mixing drinks . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .10Price lists . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .10Where customers may consume liquor . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .10

Providing Safe and Responsible Service . . . . . . . . . . . . . . . . . . . . . . . . . . . . .11Serving It Right: B.C.’s Responsible Beverage Service Program . . . . . . . . . . . . . .11Controlling Your Establishment . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .11

Your responsibilities . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .11Preventing disturbances . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .12Minors . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .12ID requirements . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .12Overcrowding . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .12Drink sizes . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .13

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Drink prices . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .13Over-service and intoxicated patrons . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .14Disorderly or riotous conduct . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .14Weapons . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .14Gambling . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .14Employee conduct . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .14Designated smoking rooms . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .15

Advertising Your Restaurant . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .16What You May Advertise . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .16Where You May Advertise . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .16Signs . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .16

Entertainment . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .17What You May Offer . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .17What You May Not Offer . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .17

Relations with Liquor Manufacturers and Agents . . . . . . . . . . . . . . . . . . . . .18What You May and May Not Do . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .18Activities Not Permitted . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .18

Tied houses . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .18Inducements . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .19

Activities Permitted At Any Time, Without a Buy-Sell Agreement . . . . . . . . . . . . .19Promotional items . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .19Product samples . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .19Visits . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .19Consumer tastings . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .20Hospitality . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .20Contests (that are running in government liquor stores) . . . . . . . . . . . . . . . . .20

Activities Permitted With a Buy-Sell Agreement Only . . . . . . . . . . . . . . . . . . . . .21More expensive promotional materials . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .21Joint promotions/brewmaster’s or winemaker’s dinners . . . . . . . . . . . . . . . . .21Contests (that are running in government liquor stores) . . . . . . . . . . . . . . . . .21Sponsorships . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .21Educational events and activities . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .21Hospitality . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .22

Relations with Liquor Manufacturers and Agents: A Summary . . . . . . . . . . . . . . .22Inspections . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .23

Why We Inspect Licensed Establishments . . . . . . . . . . . . . . . . . . . . . . . . . . . . .23Entry of Liquor Inspectors and Police Officers . . . . . . . . . . . . . . . . . . . . . . . . . . .23Producing Documents and Records . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .23Liquor Seizures and Sampling . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .23

Enforcement . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .24Contravention Notice . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .24Compliance Meeting . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .24Notice of Enforcement Action . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .24Waiver . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .24Pre-Hearing Conference . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .24Enforcement Hearing . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .25Possible Enforcement Action . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .25Serving Liquor While Under Suspension . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .25Judicial Review . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .25

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APPENDIX 1: Penalty Schedule . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .27APPENDIX 2: Taking Reasonable Measures to Prevent Disturbances . . . . . . . .34APPENDIX 3: Making Changes to Your Liquor Licence . . . . . . . . . . . . . . . . . .35

Changes that Require Approval from the General Manager . . . . . . . . . . . . . . . . .35Permanent change . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .35Structural change . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .35Transfer of location . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .35Third-party or resident manager change . . . . . . . . . . . . . . . . . . . . . . . . . . . . .35Temporary change . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .35

Application Forms, Documentation and Other Required Approvals . . . . . . . . . . . . .36Criminal record checks . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .36

APPENDIX 4: Sample Buy-Sell Agreement . . . . . . . . . . . . . . . . . . . . . . . . . . .37APPENDIX 5: CRTC Code for Broadcast Advertising of Alcoholic Beverages . . .39

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Food-Primary Licence 1Terms and Conditions

IntroductionThis GuideThis guide outlines the requirements of theLiquor Control and Licensing Act and Regulationsfor serving and consuming liquor in food-primaryestablishments (restaurants). It also imposesfurther terms and conditions, in addition to thosefound in the Liquor Control and Licensing Actand Regulations.*

Like the requirementscontained in the Act andRegulations, theseadditional terms andconditions – and anyfurther terms andconditions that might beprinted on the face ofyour licence or containedin letters issued to you bythe general manager ofthe Liquor Control andLicensing Branch – must be followed at all times.

As a licensee, it is your responsibility to operateyour business so that it complies with the law andwith the terms and conditions of your licence.

*Section 12 of the Liquor Control andLicensing Act provides the general managerwith the authority to impose, in the publicinterest, terms and conditions on licences.

Definitions Used in this Guide"The Act" means the Liquor Control and

Licensing Act, the provincial legislation thatguides the licensing of establishments thatmanufacture, store or sell liquor in B.C.

"The agent" means anyagent of amanufacturer,employee of amanufacturer oremployee of anagency that sellsdomestic orimported liquor products.

Important!Please take time to read thisguide carefully and make sureyour managers and staff arefamiliar with the informationpresented here, and with anyadditional terms andconditions printed on theface of your licence and/or inletters issued by the LiquorControl and LicensingBranch.

"The branch" means the Liquor Control andLicensing Branch, the government agency thatadministers the Act.

"Buy-sell agreement" is a contract between aliquor manufacturer/agent and a bar, pub,restaurant or licensee retail store to promotethe manufacturer/agent’s products. A buy-sell agreement spells out what the licenseeshave agreed to and for how long thatagreement is to remain in place (it may notexceed 36 months).

"Food-primary" refers to a licensed establishmentwhere the service of food, as opposed toliquor, is the primary focus of the business.

"The general manager" means the generalmanager of the Liquor Control and LicensingBranch.

"Licensee" refers to any individual, individuals orcorporate body that holds a British Columbialiquor licence. The term covers both thelicensee of record and any person acting inthe place of the licensee, such as a manageror person in charge of an establishment inthe licensee's absence, and staff orentertainers working in the establishment.

"Liquor-primary" refers to a licensedestablishment where the service of liquor, asopposed to food, is the primary focus of thebusiness.

"Manufacturer" means a manufacturer of liquorproducts (i.e., beer, wine, spirits, cider andcoolers) or the corporate official of a liquormanufacturer.

"Minor" refers to an individual who is under 19years of age — 19 is the legal drinking age inBritish Columbia.

"Occupant load" means the number of persons,including staff, who may be in a licensedpremises at one time. The number iscalculated by local fire and building officialsor other designated professionals, such asarchitects and engineers. The occupant load

Please note:Wherever definitions, words orexpressions used in this guidediffer from the wording of theLiquor Control and Licensing Actand Regulations, the legislationwill prevail.

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2 Food-Primary LicenceTerms and Conditions

calculation must be the least number ofpeople allowed under the relevant provincialregulations or municipal bylaws.

"Patron capacity" means the maximum number ofpersons, not counting staff, who may be in alicensed premises at one time.

"Patron-participation entertainment" refers toentertainment that patrons may participatein, such as karaoke or "dine and dance."

"Patron non-participation entertainment" refers toentertainment that patrons may watch, suchas musicians or comedians.

"Person capacity" means the maximum number ofpersons, including staff, who may be in alicensed premises at one time.

"Red-lined area" refers to the area within alicensed establishment where you may sell,serve and consume liquor.

"Restaurant lounge" refers to a specially licensedarea within the restaurant where customersmay order a drink without ordering a meal.

"Serving It Right: The Responsible BeverageService Program" is a self-study course thateducates licensees, managers and serversabout their legal responsibilities when servingliquor, and provides effective techniques toprevent problems related to over-service.

"Terms and conditions of licence" arerequirements of licensees that are set bylegislation, regulation or branch policy. Alllicence terms and conditions must befollowed. Not following them may result inenforcement action.

UpdatesLicence terms and conditions change from timeto time. We will send out revisions to this guideperiodically. In addition, an up-to-date copy isalways available on the provincial governmentwebsite under “Liquor Licensing”:

www.gov.bc.ca/pssg

Help is AvailableWe know how difficult it can be to operate alicensed establishment, and understand thechallenges you may face in consistently followingB.C.'s liquor laws. You should always feel free todiscuss potential enforcement problems with aliquor inspector or another branch employee.

If you have any concerns or questions, pleasecontact your local liquor inspector or write,telephone or email the Liquor Control andLicensing Branch at:

Mailing AddressPO Box 9292 Stn Prov Govt,

Victoria, BC V8W 9J8

Office Address2nd Floor, 1019 Wharf St.,

Victoria, BC V8W 2Y9

[email protected]

Phone250 387-1254 in Victoria

Toll Free Phone1-866-209-2111

A range of helpful information along with licenseeguides, application forms and links to the LiquorControl and Licensing Act and Regulations can be

found on the provincial government websiteunder “Liquor Licensing”:

www.gov.bc.ca/pssg

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Food-Primary Licence 3Terms and Conditions

Background: Who isResponsible for WhatThe Liquor Control andLicensing BranchThe Liquor Control and Licensing Branch isresponsible for regulating and monitoring the saleof liquor in licensed establishments in BritishColumbia, and for protecting the public from theharm that may be caused by making and sellingliquor or products that contain alcohol.

The branch issues and supervises liquor licences,and monitors the activities of all liquor licenseesin British Columbia to make sure they arefollowing the rules laid out in the Liquor Controland Licensing Act, its Regulations, and theirlicence terms and conditions.

To make sure the public has full access toinformation about liquor licensees in thisprovince, we post summaries of all cases wherethe branch has recommended enforcement actionon our branch web site. For those cases that goto an enforcement hearing, we post the completetext of the decision. (Names of individuals areremoved to comply with the requirements of theFreedom of Information and Protection of PrivacyAct.)

Your Role as a LicenseeAs a licensee (someone who holds a liquorlicence), you are legally responsible forunderstanding how the Act, its Regulations, andthe specific terms and conditions of your licenceaffect the operation of your establishment, andfor complying with the Act, its Regulations, andthe terms and conditions of your licence.

You are also responsible for making sure youremployees follow B.C.'s liquor laws and the termsand conditions of your licence, even when youare not on site. In addition, you must let thebranch know about any changes you make toyour business or to the buildings you operate.

You must cooperate with liquor inspectors andpolice, and ensure the actions of you and yourstaff do not put liquor inspectors or police at riskor prevent them from carrying out their duties.

If you do not carry out your legalresponsibilities, you could face seriouspenalties, including the suspension or lossof your licence.

The Role of the Liquor InspectorLiquor Control and Licensing Branch liquorinspectors are located in regional offices acrossthe province. They will regularly visit yourlicensed establishment – often arrivingunannounced – to:• explain the terms and conditions of

your licence • inspect the physical layout of

your establishment • inspect your legal, financial and

business records • observe and record your business practices,

identifying gaps or weaknesses that are likelyto lead to non-compliance (to you notfollowing the Act, its Regulations and theterms and conditions of your licence), and

• identify any contraventions of the Act,Regulations or the terms and conditions ofthe licence occurring in your establishment.

If a liquor inspectorfinds you arecontravening (notfollowing) the Act, itsRegulations or the termsand conditions of yourlicence, the inspectorwill issue aContravention Noticeand may recommend that the general manager

Please note:Liquor inspectors are agood resource. They canprovide you with both helpand advice, and werecommend you get toknow your local liquorinspector as soon aspossible.

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4 Food-Primary LicenceTerms and Conditions

take enforcement action against you.

The Role of PolicePolice officers also make regular, unannouncedvisits to licensed establishments. The policeconsider these visits to be an important part oftheir routine patrols in the community.

When the police walk through yourestablishment, they will look for evidence of anyliquor contraventions, especially those that couldresult in disturbances within the community orthat could threaten public safety, such asdrunkenness, overcrowding or minors inpossession of alcohol. If the police notice acontravention, they will record it on a form calleda Licensed Premises Check (LPC), leave one copywith you and send one to the Liquor Control andLicensing Branch.

The branch follows up on all LPCs, and may ask aliquor inspector to conduct a further inspection.If the inspector confirms the contravention, he orshe will issue a Contravention Notice and mayrecommend enforcement action.

The Role of LocalGovernment and FirstNationsA liquor licence is only one requirement inopening a licensed establishment in BritishColumbia. Liquor licensees must also deal withlocal governments on such issues as zoning,building bylaws, business licensing requirementsand health and fire Regulations.

Local governments are responsible for protectingthe peace and good order of their communitiesand are often the first to learn about problemsrelating to licensed establishments. The generalmanager takes complaints from local governmentsthat licensed establishments are operatingcontrary to the public interest and are disturbingpeople in the surrounding area very seriously.

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Food-Primary Licence 5Terms and Conditions

The Nature of Your BusinessDifferences Between a Food-Primary and a Liquor-Primary LicenceThe Liquor Control and Licensing Branch issuesfood-primary licences to businesses (restaurants)where the primary purpose, through all hours ofoperation, is the service of food. The branchissues liquor-primary licences to businesses, suchas bars, lounges, and night clubs, where theprimary purpose is the service of liquor, asopposed to food.

The rules for each type of licence reflect theprimary purpose of the establishment. Forexample, food-primary establishments must offerboth appetizers and main courses, while bars arerequired to offer hot or cold snacks and non-alcoholic beverages. They also reflect the fact thatminors are allowed in restaurants but not in bars,which means that certain activities allowed in bars– such as adult entertainment – are prohibited infood-primary establishments.

The approval process is also different for eachtype of licence. For example, in approving aliquor-primary licence, the branch must considerthe views of local residents and whether or notlocal government supports the application. Witha food-primary licence, however, localgovernment support is needed only if therestaurant wants to serve liquor after midnight orto offer certain types of entertainment, such askaraoke. Applying for a food-primarylicence and then operating your businessas a bar circumvents this approval processand is a serious contravention.

Making Sure YouOperate YourEstablishment as aRestaurant As a food-primary licensee, you are responsiblefor operating your establishment as a restaurant.

That means you must meet the followingrequirements at all times: • Kitchen equipment: The kitchen must be

fully equipped (with commercial stoves anddishwashers, for example), and must be openand staffed whenever liquor is served.

• Menu: The menu must include a reasonablevariety of appetizers and main courses, andmust be available at all times that liquor isbeing served. Serving salsa, chips, peanutsand other types of "finger food" is notenough to meet this requirement.

• Furnishings and lighting: The décor mustbe suitable for dining and table service. Theremust be enough tables and chairs, and/orcounters and stools to seat everyone. Thetables must be big enough to hold the plates,cutlery and glassware associated with a fullmeal. You must have enough dishes andflatware (and other table accessories) foreating.

• Entertainment and games: The type andhours of entertainment and games offeredmust not distract from the primary purposeof the service of food. For example, adultentertainment and games that cannot beplayed while youare seated andrequire diners toget up from thedining area, such asbilliards andfoosball, are notpermitted in alicensed area. (Youmay, however,apply to providegames or adultentertainment in anunlicensed area;please see below.Please also see thesection onEntertainment formore informationabout what ispermitted inlicensed areas.)

• Name: The name of your restaurant mustaccurately reflect the service you provide. – If you do not have a restaurant lounge

endorsement (see below), you may callyour business a "pub-style restaurant," but

Important!In determining whether anestablishment is operatingas a restaurant or a bar,the general manager doesnot have to establish that a licensee has failed to meetall of the requirements foroperating as a restaurant.Failing to meet anyoperating requirement issufficient for the generalmanager to conclude that a licensee is operating his orher restaurant as a bar.The general manager mayalso take into account anyother relevantconsiderations indetermining whether anestablishment is operatingas a restaurant or a bar.

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6 Food-Primary LicenceTerms and Conditions

may use the word "bar" only if it isassociated with a type of food – "pastabar" or "oyster bar" for example (but youmay not highlight the words, as in"O'Malley's PUB-style Restaurant" or"Nico's Oyster BAR"). "Taverna" is alsoacceptable, because it means "eatinghouse" in the original Greek, and you maycall your establishment a "dining lounge" ifyours is a formal restaurant, offering full-course meals.

– If you do have a restaurant loungeendorsement, you may use the wordslounge, bar, cocktail lounge or cocktail barin your name, provided you also include areference to food – for example, "Bar andGrill" is acceptable, but just "Nico's Bar" isnot. (Please see the section on Advertisingfor more information.)

• Operating hours: You must operate as arestaurant at all times. Restaurants cannotshift their operation to become a bar duringcertain hours of the day, such as between 4p.m. and 6 p.m., or in the late evening hours.

• Financial records: You must make allfinancial recordsavailable and providereceipts for the liquorinspector to reviewupon request. (Pleasesee the section onInspections for acomplete list of therecords you arerequired to keep.)

• Food-to-liquorratio: The ratio ofreceipts from foodsales to receipts fromliquor sales in therestaurant mustsupport the fact thatyour primary focus is food. As a general rule,liquor sales should not exceed food sales inthe dining area.

Physical Layout of Your RestaurantIf you hold both a food-primary and aliquor-primary licenceYou may hold licences for both a food-primaryand a liquor-primary establishment at the sametime but, if the two establishments are locatednext to each other, you must ensure that there isa physical separation between the two.

This separation must be sufficient: • for a building official to determine a separate

occupant load for each of the licensedestablishments

• to prevent the food-primary establishmentfrom becoming an extension of the liquor-primary establishment, and

• to control access to the liquor-primaryestablishment.

In addition:• the physical separation must be permanent to

ensure the size of the liquor-primaryestablishment does not change

• if your liquor-primary establishment offersadult entertainment, the divider between thetwo establishments must prevent diners frombeing able to see into the bar

• restaurant patrons must be able to access thewashrooms without having to walk throughthe bar, and

• while patrons may enter the bar through therestaurant, you must make sure they do notenter the restaurant through the bar.

If you hold a restaurant loungeendorsementA restaurant lounge is a separate area within arestaurant where patrons may order a drinkwithout the intent of ordering a meal.Restaurants with a person capacity of 50 or moremay apply to the branch for a loungeendorsement.

If you have been approved for a restaurantlounge:• Your total lounge area may accommodate 40

persons or 20 per cent of the personcapacity of the restaurant (whichever is less).

• You may have two lounges – one indoor andone outdoor – provided the total number ofpeople in both areas does not exceed thenumber allowed for your restaurant as awhole.

• Both lounges may open at the same time,provided the total number of people in bothareas does not exceed the number allowedfor your restaurant as a whole.

• The face of your licence states how manyseats you are allowed to have in your lounge(or lounges, if you have two). For example, ifyour licence states you can have 40 seats, andyou have only one lounge, that means youcannot have more than 40 people in yourlounge at all times. If your licence states youcan have 40 seats, and you have two lounges,

Serving liquorwithout food: As long as you are runningyour business properly, asa restaurant, you mayoccasionally serve liquor toa customer, without food,at any table within thedining area.

Remember, though, yourliquor inspector will lookclosely at exactly howmany people are beingserved liquor without food,and how often.

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Food-Primary Licence 7Terms and Conditions

that means you can have 40 seats in theindoor lounge and 40 seats in the outdoorlounge (or 20 and 20, or 30 and 10, or anyother combination), but the total number ofpeople in both of your lounges must notexceed 40 at all times.

• The floor area set aside for your interiorlounge should not exceed 20 per cent of theinterior licensed area of the restaurant.

• Any individual sitting in a lounge seat countstoward the licensed limit of your lounge area,regardless of whether he or she orders adrink. This applies equally to minors, who areallowed in the lounge area if accompanied byan adult, but may not consume liquor.

• The interior lounge may be located anywherein the licensed floor area, but must be visiblydistinct from the main dining area. This canbe done with a physical separation like a wall,or different floor surfaces and style offurniture. (A separating wall is not requiredas long as the area is visibly distinct.)

• The rules for entertainment in a lounge areaare the same as in the main dining area(please see the section on Entertainment formore information).

• Hours of liquor service in the lounge area(s)may not go beyond the hours of liquorservice in the main dining area.

• You may advertise that your establishmenthas a lounge, bar, cocktail lounge or cocktailbar.

• Your kitchen must be open and the full menuavailable whenever the lounge is open.

• There must be a sign either at the entry to,or within the lounge(s), explaining that it is alounge and that adults must accompanyminors. The sign must be visible to all loungepatrons.

• As in the rest of the restaurant, minors mayserve drinks in the lounge if they are underadult supervision, but may not open bottles,pour or mix drinks.

If you offer games or adultentertainment Adult entertainment and games that requirecustomers to stand or move around, such asdarts, billiards or foosball, are not allowed in thelicensed area of a restaurant. Food-primarylicensees may, however, apply to have anunlicensed area where adult entertainment orgames are allowed, provided building officials areable to calculate a separate occupant load for thelicensed area indicated on the restaurant's floorplans.

If you have been approved for an unlicensed area:• there must be sufficient separation between

the licensed and unlicensed areas to ensurepatrons do not take liquor into theunlicensed area, and

• the physical separation must be fixed andimmovable to ensure the size of the licensedarea is maintained, and

• you must be able to control access to thelicensed area.

Also, if you offer adult entertainment in anunlicensed area or in an adjacent liquor-primaryestablishment, you must make sure customers inthe main dining area cannot see into theunlicensed area or adjacent bar.

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8 Food-Primary LicenceTerms and Conditions

Posting Your LicenceYou must post your liquor licence certificate in aprominent location in the licensed area to ensure itis immediately available for review by liquorinspectors and police.

Storing Your Floor PlansWhen you first applied for a food-primary licence,you submitted the floor plans for your restaurantfor approval. Once they were approved by thegeneral manager, these floor plans became part ofyour liquor licence. As with the licence certificate,liquor inspectors and the police must have quickand easy access to the information contained inyour floor plans.

Your floor plans must be stored in the licensed areaof the establishment and must be immediatelyavailable for presentation to a liquor inspector or apolice officer on request.

Renewing Your LicenceYou must renew your licence each year and pay anannual licence fee. Your fees are calculated based onthe amount of liquor your business purchased fromthe Liquor Distribution Branch in the previous year:

Providing Information to the BranchYou must be forthright in providing information tothe branch. Making a misleading statement or failingto disclose a material fact (such as the fact that a

third party is using your licence, or that the lease on yourproperty is about to run out) are licensingcontraventions.

Making Changes to Your Liquor LicenceThe details of your liquor licence application – who youare, the location, size and layout of your establishment,etc. – are critical factors in the decision to grant alicence.

Any changes you intend to make to these factors afteryour licence is granted require the approval of the branchbefore you make the changes. (Please see Appendix 3 fordetailed information about making changes to yourlicence.)

Selling Your Business andTransferring Your Licence to a New OwnerTo transfer your liquor licence to a new owner, the newowner must apply to transfer the licence using theApplication for a Food-Primary Licence form (availablefrom the website listed on page 2). As the currentlicensee, you will need to sign the Agreement to TransferLicence(s) section of that form — this is where youofficially agree that when the general manager approvesthe transfer application you will relinquish all claims toyour licence(s). You also acknowledge that you willcontinue to be held responsible for any contraventionsthat occur until the transfer is approved. The new ownercan also request a change in the name of the business. Ifapplicable, you must also give the new owner all recordof liquor bought from the Liquor Distribution Branch instock at the time of the sale.

The general manager may not approve a licence transferif the branch is in the process of taking action against youas the current licensee.

Beginning in 2008, the new owner may not serve liquoruntil the general manager has approved the licencetransfer.

Managing Your Business

Annual Liquor Purchases from theLiquor Distribution Branch

FEE

$12,500 or less $ 275

over $12,500 and up to $20,000 $ 550

over $20,000 and up to $45,000 $ 825

over $45,000 and up to $100,000 $1,100

over $100,000 and up to $250,000 $1,200

over $250,000 $1,400

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Food-Primary Licence 9Terms and Conditions

Buying, Storing, Sellingand Serving LiquorBuying liquorYou must purchase your liquor from a LiquorDistribution Branch liquor store, or other outletdesignated (in writing) by the general manager orthe Liquor Distribution Branch.

Whenever you buy liquor, you must first identifyyourself as a licensee. The liquor store will thenrecord your purchase against your licencenumber. It is a serious contravention to buyliquor from another source, or to purchase liquorthat is not recorded against your licence number.

Maintaining a liquor registerYou must keep a detailed, written record of everyliquor purchase made under your licence, by dateand by storage location (if you are permitted tostore any liquor off-site) in a liquor register. (Aliquor register is usually a book or binder whereyou keep your copies of the documentation youreceive every time you buy liquor.)

You must also keep a record in your liquorregister of all faulty or damaged kegs of beer orcider or kegs containing spoiled product that youreceive and replace.

Your liquor register must be available forinspection by a liquor inspector or police at anytime. The inspector or police officer may look atyour register and compare it to your liquor stockto make sure you have purchased your liquor inthe proper way. It is not sufficient to simply storereceipts of your liquor purchases and call theseyour record or your register.

Illicit or private liquorYou may not buy, keep, sell or give illicit liquor toanyone. Illicit liquor is defined as:• liquor purchased otherwise obtained from a

source other than your designated liquoroutlet

• stolen liquor• smuggled liquor• liquor intended for export• home manufactured or UBrew/UVin liquor

• liquor purchased as a medicinal,confectionery or culinary product that isbeing used as beverage alcohol

• liquor that has been adulterated or watered-down, and

• samples that may have been left by an agent.

You are accountable for any illicit alcohol foundanywhere on your premises (service or storagearea). It is not acceptable to say that illicit liquormade its way into your stock by accident, that itwas a gift for personal use, or that an employeeleft it there.

If you recently purchased your establishment andacquired your licence through a transfer, youmust conduct a thorough audit of all liquor onthe premises to ensure none is illicit.

Because the risk of internal theft is high inlicenced establishments, you must put safeguardsin place to make sure staff or others do notwater down or otherwise adulterate your liquorsupply. The extent of the safeguards required willvary depending on the circumstances.

Culinary product containing alcohol that you keepfor cooking must stay in the kitchen and separatefrom liquor kept for sale.

You also may not keep or serve liquor bought forprivate consumption in your establishment.

Hours of saleYou may sell liquor only during the hoursindicated on the face of your licence. All liquor(in bottles or glasses) must be removed from thetables within half an hour of liquor service ending(i.e., the time specified on your licence).

You may not serve liquor after midnight, unlessyou apply for, and the general manager approves,late night hours. The only exception is NewYear's Eve, when you may serve liquor until 4:00 a.m. on January 1 regardless of your normalclosing hour (and provided food is available tocustomers), unless the general manager hasdirected otherwise or local bylaws prohibit it.

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10 Food-Primary LicenceTerms and Conditions

On the night of a time change (spring or fall), youmust operate according to the hours in effect atthe start of the Saturday business day, and wait tochange your clocks (forward or back) until afteryour liquor service hours have ended for thatbusiness day.

Dispensing liquor and mixing drinksYou must always dispense liquor from the originalcontainers, unless you have applied to the generalmanager for an exception. You may not refillcontainers or add liquor to a bottle or containerpurchased from the Liquor Distribution Branch.You may not pre-mix drinks: all drinks must bemixed at the request of a customer.

Price listsYou must have a list available showing the types ofliquor available, the size of each drink you selland its price. Your price list should also includeany drink specialsyou are currentlyoffering.

You may post theprice list as a printedlist or on a board, orit can be available atall tables. At aminimum, it must beavailable tocustomers onrequest.

Your price lists:• Must indicate whether the

price includes taxes, andwhat the applicable taxesare.

• Must indicate the size ofeach drink (you may usecommon names, such as "asleeve of beer," which is 14 oz).

• Do not have to include acomplete list of all availablemixed drinks, provided youclearly list the price andamount of liquor (e.g.,"mixed drinks contain 1 ozof liquor, and cost 'x' for barbrands, and 'y' forpremium").

Where customers may consumeliquorCustomers may not bring their own bottles ofliquor to consume in your establishment, and youmay only sell and serve liquor in the licensed areaof your establishment (commonly referred to asthe "red-lined area" of your floor plans).

Patrons may stand or walk around within the red-lined area with their drinks, but you may notpermit customers to consume liquor outside ofthe red-lined area, or to take liquor from the red-lined area to other parts of your establishment,except: • Patrons may take liquor into the washroom

as long as they are not walking through anunlicensed area (such as a hotel lobby), andyou are properly supervising the washrooms.

• Customers may take away unfinished bottlesof wine. Your staff must put a new cork inthe bottle and tell customers who are drivingthat they must store the wine behind the rearseat, in the trunk, or in an exteriorcompartment – it must be out of reach ofpeople in the car.

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Food-Primary Licence 11Terms and Conditions

Providing Safe and Responsible ServiceServing It Right™: B.C.’s ResponsibleBeverage ServiceProgram

Serving It Right is a self-study course thateducates licensees, managers and servers abouttheir legal responsibilities when serving liquor,and provides effective techniques to preventproblems related tooverservice.

Serving It Right must becompleted by all licenseesand managers, and anystaff who may be left incharge. If you are licensedas a public or privatecorporation, the licenseeportion of thisrequirement is met if anydirector, officer oremployee responsible forcontrolling the sale of liquor completes theServing It Right program. If you have a licensedlounge, all bartenders and wait staff must haveServing It Right.

You are responsible for making sure youremployees take Serving It Right. You must keepphotocopies of their Serving It Right certificates,ready for inspection by a liquor inspector orpolice officer at all times.

Controlling YourEstablishmentYour responsibilitiesYou and your employees are responsible formanaging and controlling the behaviour ofpatrons. You must ensure that other patrons,

Serving it Right:The course packages,examsand certificate numbers maybe obtained from the program: Phone: 604-633-9798E-mail:[email protected] downloaded from website:www.servingitright.com

The Serving it Right program isadministered by go2 — B.C.’stourism industry humanresources association.

your staff and members of the community arenot harmed as a result of liquor misuse orcriminal activity in your restaurant, and you arerequired to take steps to ensure your businessdoes not disturb the surrounding community.

If your staff, patrons or members of thecommunity have reason to be concerned thatthere is a threat to their safety, you must act onthese concerns. If criminal or riotous conduct hasoccurred, or you suspect it may, then you mustnotify police immediately.

An individual who hasbeen asked to leave, orwho has been barredfrom entering yourrestaurant, must notreturn for at least 24hours. If a person doesthis, he or she iscommitting an offenceand may be arrested.

Section 22 of the Actallows the generalmanager to suspend aliquor licence for 24hours and order theimmediate removal ofpatrons where there is animminent threat topeople's safety. In thissituation, you arerequired to take allreasonable steps toensure that customersvacate the premisesimmediately.

Steps you cantake to ensureresponsibleservice: • Hold regular staff

meetings to discussliquor issues.

• Let your staff knowthat you will supportthem when they cut apatron off or refuseservice.

• Be familiar with "drivehome" programsoffered in yourcommunity.

• Have door staff tomonitor the entry andexit of guests andcontrol the numbersin your establishment(you might want tosupply them withmechanical countersthat will allow them totrack the number ofpatrons entering andleaving).

• Give "last call" towardthe end of the nightand do not allowpatrons to buyexcessive amounts ofliquor at that time.

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Preventing disturbancesYou must take reasonable measures to make sureyour business is not operating contrary to thepublic interest and does not disturb people nearyour establishment.

Examples of reasonablemeasures include installingadequate lighting outsideyour establishment and inthe parking lot, supervisingyour parking areas, addingsound proofing, makingapproved structural changesto allow indoor line-upareas, and posting signs atthe exit doors asking yourpatrons not to disturb yourneighbours. (Please see Appendix 2 for furtherexamples of reasonable measures.)

MinorsMinors (in B.C., that is anyone under 19 years ofage) are allowed in food-primary establishmentson their own, and in a restaurant lounge ifaccompanied by an adult. However, it is againstthe law for you or your employees to sell, serve,or supply liquor to a minor. We expect you andyour staff to put effective systems in place tomeet this obligation.

Minors employed in food-primary establishmentswho are 16 or older may serve liquor but maynot open bottles, pour or mix liquor. Minorsserving liquor must be under the supervision ofadult staff.

ID requirementsYou must demonstrate that you are preventingminors from obtaining liquor. When you verify acustomer’s age, you and your employees mustask for two pieces of identification.

The first piece of identification must:• be issued by a government agency

(e.g. a passport or driver's licence), and• include the person's name, signature, birth

date and picture.

The second piece must:• include an imprint or

the holder's name (e.g. a credit card orCare Card), and

• include the person'ssignature and/orpicture.

If the person cannotproduce two pieces ofacceptable identificationthat proves they are 19 orolder, you must refuseservice.

You must cooperate with aliquor inspector if theinspector asks you or yourstaff to determine whether a person is a minor.

You are encouraged (but not required) to retainidentification that is clearly false and to turn itover to your liquor inspector. Where possible,the inspector will return the identification to theagency that issued it. (If the patron insists youreturn the ID, you should do so, but weencourage you to take a photocopy of it first togive to your liquor inspector.)

OvercrowdingYour liquor licence tells youthe maximum number ofpatrons or the maximumnumber of persons (patronsand staff) that you may allowin your premises at one time(see the definitions of "patroncapacity" and "person capacity"at the beginning of this guide).

It is important for you to knowthe type of capacity for whichyour establishment is licensed,and to make sure you staywithin this limit.

Local building/fire authoritiesalso establish a maximumcapacity or occupant load thatmay differ from your liquor

Important!If a liquor inspectorbelieves you are not takingreasonable measures toprevent disturbances - orif we receive a number ofcomplaints from the publicabout disturbances thatcan be linked back to yourestablishment - you will berequired to attend acompliance meeting.(Please see the section onEnforcement for moreabout compliancemeetings.)

To verifyidentification, askthe person for:• A sample signature to

compare to thesignature on the photoidentification.

• His or her zodiac sign –people with falseidentification often will beunable to answer quickly.

• His or her middle nameand how to spell it.

• Information that is onthe identification, suchas the person's addressor postal code.

Please note:If an inspector visitsyour restaurant and isuncertain as towhether it isovercrowded, theinspector will count, asaccurately as possible,the number ofpatrons/persons in yourestablishment.

If the count indicatesthat yourestablishment isovercrowded, theinspector will, ifpossible, do a secondcount. If you receive aContravention Notice(please see the sectionon Inspections for moreon this), it will includeboth the first andsecond count.

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Food-Primary Licence 13Terms and Conditions

licence maximum capacity. (In most cases, theoccupant load maximum capacity will be greaterthan the liquor licence maximum capacity.) Youmay apply to the branch to increase your liquorlicence maximum capacity so that it matches theoccupant load maximum capacity set by buildingand/or fire authorities. If fire and buildingofficials have each calculated an occupant load foryour establishment, or if an engineer or architecthas, and the numbers are not the same, thelower number is the one you must use.

Drink sizes You must encourage moderate consumption at alltimes and follow strict limits on the maximum sizeof servings.

• Distilled liquor: Each drink containingdistilled liquor (spirits) shall not contain morethan three fluid ounces of distilled liquor, orthe metric equivalent (85 ml). This appliesregardless of whether the drink is served inone, or more than one, glass or container(for example, a single patron may not beserved four one-ounce shooters or two two-ounce "doubles" at one time). Drinks thattwo or more patrons intend to share may beserved in larger containers, but the maximumof three fluid ounces per person must bemaintained. You may not serve whole bottlesof distilled liquor.

• Draught beer: You may serve draught beerin single servings of no more than .5 litre orsmaller servings of multiple brands, providedthe total served at one time is no more than.5 litre. Pitchers or other multiple servingcontainers shared by two or more patronsmay contain no more than 1.5 litres ofdraught beer.

• Bottled beer: You may serve a maximumof two standard-sized or one large-sized (.5 litre or more) bottle of beer to a singlepatron at onetime.

• Wine: Youmay serve winein singleservings of .25litre (or more ifthe person ishaving a meal),or in smallerservings ofmultiple brands.You may serve

wine by the bottle, in non-refillablecontainers of .75 litre to 1.5 litres, or inrefillable containers of no more than 1.5litres, provided you apply for and receiveapproval for the container from the PublicHealth Protection Branch of the Ministry ofHealth (the container must be one thatprevents product contamination).

Drink pricesTo help encourage moderate consumption:• You must charge at least as much as the

original Liquor Distribution Branch purchaseprice.

• You must set your liquor prices at the start ofthe business day, and you cannot changethem until the next business day.

• Happy Hours are not permitted. If you aregoing to offer a special or reduced price, itmust be available all day and may not beoffered on a brand or type of liquor forwhich you know you don't have enoughstock.

• You may occasionally treat your customers toa free drink; however, you cannot give awaymultiple drinks that could lead to over-consumption.

• You may offer an all-inclusive package thatincludes liquor in the price (for example,"champagne brunch," Mother's Day special,New Year's Eve special). The amount ofliquor to be provided must be specified andnot unlimited.

• You must not provide unlimited orunspecified quantities of liquor for a singleprice or use a sales strategy that is likely topromote or encourage over-consumption.For example, you may not:– sell drinks "two for one"– allow staff to circulate with trays of pre-

mixed drinks, such as shooters that are notpre-ordered, and

– serve any drinks greater than themaximum drink sizes – by the "tray load",for example.

The general manager has also expresslyprohibited the practice of pouring drinks into themouths of customers laying or leaning over a bar.Establishments that permit such activities to occurcan expect enforcement action.

Maximum drink sizes per person:Distilled liquor(spirits) . . . 3 ounces

Draught beer . . . 0.5 litre

Bottled beer . . . 2 standard-size bottles or1 large-size bottle

Wine . . . . . . . . . 0.25 litre (or more with a meal)

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14 Food-Primary LicenceTerms and Conditions

Over-service andintoxicated patronsIt is your responsibility tomake sure patrons do notbecome intoxicated while inyour establishment.

You must not let a personwho is apparently under theinfluence of alcohol or drugsenter or remain in yourestablishment. You mustrefuse the person service,have the person removedand see that he or shedeparts safely.

You also must write down allincidents of intoxicatedpatrons and the action youtook in an incident log, andhave the informationavailable for the liquorinspector or police officers.

Disorderly or riotous conductYou must not allow violent, quarrelsome, riotousor disorderly conduct or unlawful activities totake place in your establishment. This includesbehaviour that might cause a reasonable personto believe his or her safety is threatened.

If you know or suspect that this kind of behaviourhas taken place, is currently taking place or maytake place, then you must notify the policeimmediately.

WeaponsA weapon is defined as anything used or intendedfor use:• in causing death or injury to persons whether

designed for that purpose or not, or• in threatening or intimidating any person.You are responsible for making sure a personwith a weapon does not enter or remain in yourestablishment.

If you know or suspect that one of yourcustomers has a weapon, you should notify thepolice immediately.

GamblingGambling is defined as playing or gaming, formoney or other stakes, on an uncertain event; itinvolves chance and the hope of gainingsomething more than the amount paid toparticipate.

You may not allow gambling in yourestablishment. You may not authorize gambling(such as by receiving a portion of the bets,collecting a fee from participants or providingtables or a room for games to take place). Youare also responsible for exercising care andvigilance so gambling does not take place withoutyour knowledge.

Employee conductLiquor consumptionYou and your employees may not consumeliquor in your establishment during workinghours. This includes breaks, meal periods andbetween shifts on the same day. After work,you and your employees may consume liquor,provided:• You do not offer liquor to employees at a

reduced price, or in lieu of wages or as abonus.

• Your employees are of legal drinking age.• You are serving and consuming the liquor

during the hours of sale indicated on theface of your licence.

• You — as the licensee — are not treateddifferently from a regular patron.

Entertainers may not consume liquor duringa performance or while on stage in view ofpatrons.

Staff partiesYou may hold a staff party in your licensedestablishment, provided you are able tocomply with the Regulations and the termsand conditions of your licence for theduration of the party. Staff, for example, maynot consume liquor while on duty. If youcannot meet these conditions, you mustapply for a Special Occasion Licence and atemporary suspension of your food-primarylicence.

Physical signsof intoxication:• red or bloodshot

eyes

• disheveledappearance

• odor of liquor

• unsteadiness onfeet

• staggering

• exaggerated carein walking

• slurred speech

• fumbling with smallobjects such asmoney

Mental signs ofintoxication:• lack of alertness

• exaggeratedemotions

• aggression

• irrationality

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Food-Primary Licence 15Terms and Conditions

DressServers must wear clothes and must notcombine the act of serving with stripping orexotic dancing. Servers must not wear brand-identified clothing where the size of theadvertising is so prominent that it wouldresult in your establishment promoting aspecific brand of liquor.

Designated smoking roomsAll rules regarding liquor service apply indesignated smoking rooms.

All activities in the smoking room must be lawabiding, and you must maintain the same controlof activities in smoking rooms as you maintainthroughout other parts of your restaurant.

To maintain control of activities in smokingrooms:• Maintain a line of sight from the bar to all

areas of the smoking room• Ensure all areas of the smoking room are

visible from the exterior and not restrictedby planters, etc.

• Ensure the room is adequately lit.

NOTE: Government is phasing out smokingin indoor public spaces by 2008.

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16 Food-Primary LicenceTerms and Conditions

Advertising YourRestaurantWhat You May AdvertiseYou may advertise:• what kind of liquor you offer in general, such

as domestic or imported wine• what kind of liquor you offer specifically (you

may use manufacturer and brand names)• how much you charge for liquor (your liquor

prices, including specials)• your hours of sale• any entertainment or food featured at your

restaurant.

You may also use the words “lounge”, “bar”,“cocktail lounge”, or “cocktail bar” if you have arestaurant lounge.

Your ads may not:• encourage people to drink liquor or to drink

irresponsibly (you must take this into accountif you mention price in your advertising; ifyour price advertising encourages or resultsin patrons drinking to excess, we can preventyou from including liquor prices in futureadvertising)

• show people drinking liquor, or anyone whois either intoxicated or behaving irresponsiblyor illegally

• associate liquor with driving • be directed at minors or placed in locations

used or visited mostly by minors, such asvideo arcades or playgrounds (ads withoutliquor-related words, graphics or pictures maybe directed at minors and placed anywhere)

• depict liquor as: • one of life's necessities • key to social acceptance or personal success • central to the enjoyment of an activity, or • a status symbol

• show people with liquor, but without food(they must always have food in front ofthem).

Where You MayAdvertiseYou may advertise your establishment innewspapers, magazines and periodicals, and ontelevision, radio or the Internet. You can put upsigns and print and distribute pamphlets orbrochures that include graphics or pictures ofyour establishment and licensed areas.

SignsAny signs, including signs bearing the name ofyour establishment, are considered to beadvertisements andmust comply with theadvertising terms andconditions outlined inthis guide. Your signsmust also comply withlocal governmentbylaws.

Your signs maydisplay:• The name of your

establishment.

• The kind of liquor youoffer (includingmanufacturer andbrand names).

• Your liquor prices.

• Your hours of sale.

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Food-Primary Licence 17Terms and Conditions

Entertainment

What You May OfferAny entertainment you offer must conform tolocal bylaws and be suitable for viewing byminors. It must also conform to any restrictionsimposed by the general manager on hours ortype of entertainment allowed (these restrictions,if any, will appear on the face of your licence).

Television, recorded music, and liveradio/television broadcasts are permitted in food-primary establishments, as are computers thatoffer Internet access, card games, board gamesand games such as cribbage, provided they do notalter the primary focus on the service of foodand if they can be played while customers areseated.

You may show movies, provided the primaryfocus of your establishment does not shift fromthe service of food and the movies are shown inaccordance with the Motion Picture Act and itsRegulations. You may not show movies that areunrated, restricted or adult rated.

You may offer contests and draws, provided:• you do not charge an entry fee • anyone in your restaurant is entitled to enter

the contest, without having to ordersomething to eat or drink,

• you do not offer or give liquor as a prize• winners are not required to be present to

collect their prize• your event does not involve the consumption

of liquor, and• it does not alter the primary focus of your

restaurant which is the service of food.

You must apply to the general manager to offerany other types of entertainment. This includespatron-participation entertainment (such as dineand dance), which is usually permitted untilmidnight, and patron non-participationentertainment (such as musicians or comedians),which is usually permitted until 1:00 a.m. Yourlocal government must support your applicationfor patron-participation entertainment.

What You May Not OfferGames that require the patron to get up from thefood service area – such as darts, shuffleboard,foosball, billiards, pool, video arcade style games,basketball, ice or roller hockey, curling, andbowling – and which are likely to shift theprimary focus of the establishment away from theservice of food are not permitted in the licensedportion of the restaurant (you may, however,offer these games in an unlicensed area). Gamesof chance, including card games, are permittedfor amusement only – payoffs or prizes of anykind are also not permitted.

Also not permitted are:• any form of gambling• tournaments• liquor manufacturer/agent theme nights• live, on premises prize fighting, kickboxing

and all other similar contact sports • exotic dancers and strippers.

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18 Food-Primary LicenceTerms and Conditions

Relations with LiquorManufacturers and AgentsWhat You May and May Not DoThe Liquor Control and Licensing Act and itsRegulations set out strict rules regarding how youcan work with liquor manufacturer/agents, hiredagents and independent agents to promote theirproducts.

Some promotional activities are prohibitedoutright; others are permitted at any time; stillothers are permitted only if you document themin a "buy-sell agreement" - a contract betweenyou and a liquor manufacturer/agent to promotehis or her liquor products.

A buy-sell agreement spells out what you and theother licensee have agreed to and for how longthat agreement is to remain in place (it may notexceed 36 months). For example, you and awinery enter into a three-month buy-sellagreement where you agree to purchase aspecified number of cases of the winery's bestwine in exchange for the winery running acontest in your restaurant, with the prize of aweekend ski getaway for two.

A buy-sell agreement must not exclude, restrictor otherwise prohibit you from carrying or sellingthe products of the liquor manufacturer'scompetitors.

Activities Not PermittedTied housesYour restaurant may not operate as a "tiedhouse." A tied house is an establishment that hasan association - financial or otherwise - with aliquor manufacturer or its agent, that is likely tolead to its products being favoured. That means you must not agree to sell only onemanufacturer's products in your establishment, orto promote a particular product because of your

AgentsThere are three kinds of licensed agents in BritishColumbia:• liquor manufacturers who market and sell their

products off-site (an agent's licence is not required forliquor manufacturers who promote and sell theirproducts on-site only, at a retail store or samplingroom)

• agents hired by liquor manufacturers to market andsell their products off-site, and

• independent agents who market and sell importedand/or domestic products from a variety of liquormanufacturers.

All agents must be licensed by the Liquor Control andLicensing Branch and must comply with the Act, itsRegulations and the terms and conditions of their agent'slicence when promoting and selling liquor products.

Agents may hire employees to market and sell liquorproducts. Agents are responsible for making sure theiremployees follow B.C.'s liquor laws and the terms andconditions of the agent's licence.

IMPORTANT!Please see Appendix 4 for a sample buy-sell agreement. You must follow this format or similar, and both you and theliquor manufacturer/agent must keep a copy of the buy-sell agreement at your place of business for two years afterthe agreement expires. All buy-sell agreements must include:• your name and licence number

• the liquor manufacturer's/agent's name and licence number

• start and end dates of your agreement (may not exceed 36 months)

• the terms of the agreement - what you and the manufacturer have agreed to, including the type, number andretail value of any promotional activities or items conducted or supplied by the manufacturer or agent.

The buy-sell agreement may be signed by you, your manager or other person in charge, and by themanufacturer/agent or his or her sales staff.

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Food-Primary Licence 19Terms and Conditions

association with a particular liquor manufactureror agent. (You are similarly prohibited fromhaving an association, financial or otherwise, witha UBrew/UVin.)

InducementsThe Act prohibits you from asking for orreceiving benefits for selling a particular liquorproduct. You may not, for example, demand thata manufacturer or agent supply additionalproduct at either no cost or at a reduced cost, inreturn for purchasing their product.

You may accept information and ideas to help youimprove your business, but this information mustcome directly from the manufacturer or agent,and not through an outside consultant. You maynot accept advice about borrowing money orlocating financing.

You are also prohibited from accepting any items,products or services from a manufacturer oragent that are necessary for the operation ofyour business. This includes money, credit orother forms of financial assistance, as well asfixtures, furnishings, products, repair costs,draught lines, glassware, games, refrigerators,shelving or permanent display structures.

In addition:• A liquor manufacturer or agent may not rent

rooms from you, then leave them unoccupiedfor you to rent again.

• You must always pay for your ownadvertising. A liquor manufacturer or agentmay not pay all or a portion of youradvertising costs (or vice versa), or advertiseyour entertainment line-up, drink specials, ormenu items. With permission from amanufacturer or agent, you can include themanufacturer's logo in your ads, but youcannot demand or receive financialcompensation or other consideration inreturn.

• A liquor manufacturer or agent may not payfor or provide entertainment in yourestablishment.

Activities Permitted AtAny Time, Without aBuy-Sell AgreementPromotional itemsYou may accept promotional items of nominalvalue, such as coasters, tent cards, signs andposters from liquor manufacturers and agents,provided:• Your menu already lists the brand of liquor

identified in the promotional materials.• It does not appear that you are promoting a

particular liquor product or the products of aparticular manufacturer (brand-identified orcorporately identified items of a particularliquor manufacturer must not predominate).

You may buy clothing and novelties - such asshirts, caps, key chains, etc. - with the name orbrand of a particular liquor or liquormanufacturer, and re-sell them to your customersor employees. These items may display the nameof your restaurant.

You may not place bottles of liquor on tables as apromotional or point-of-sale device. You may usebrand-identified glassware, provided you purchaseit at fair market value and you retain proof ofpurchase for two years for audit purposes.

Product samplesAs a way of introducing their products, amanufacturer or agent may give you productsamples, but the amount you receive must not bemore than one bottle of the smallest available sizeper product (or, for beer, cider and coolers, onedozen bottles or cans) in any one year.

You must keep a record of all samples received inyour liquorregister,including thedate, name ofthemanufacturer oragent, name ofthe product andvolume of theproduct. You oryour staff only,in a private

Size limits for product samples:• Distilled spirits: One bottle of

the smallest available size perproduct (750ml or greater).

• Wine: The smallest availablesize per product per vintage(not exceeding two litres).

• Beer, cider, coolers: Onedozen of the smallest availablesize bottles or cans (total notexceeding four litres).

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20 Food-Primary LicenceTerms and Conditions

place outside the licensed area, may consume thisproduct. It is not intended for your patrons andmust not be served to them.

VisitsThere are strict limits on how liquormanufacturers and agents may act when they visityour restaurant.

Mass treating or "buying drinks for the house" isnot permitted, and manufacturers and agents maynot leave money for this purpose. They may,however, purchase drinks for your patrons,provided you ensure that:• The liquor serving provided to each customer

at one time is not greater than the normalserving for your establishment.

• Each order is paid for at the time it is served(the order may be put on a "tab" providedthe account is settled before the agent leavesthe establishment), and that drink prices arethe same as you would charge regularpatrons.

• The manufacturer or agent does not treatmore than one table at a time, except whereit involves a bona fide sporting team, arts orcultural club.

• You issue a countersigned receipt for thedollar value of purchased product to themanufacturer or agent (both parties shouldretain a copy).

• The manufacturer or agent does not bringliquor products into your restaurant for thepurpose of sampling.

ConsumertastingsConsumer tastings(also called tastetrials) in licensedrestaurants are anopportunity for aliquormanufacturer topromoteparticularproducts. If youand a liquormanufacturer oragent agree to puton a consumertasting, you musthave food available

during the event, and ensure the event does notshift the focus away from food. • You or the manufacturer or agent may

advertise the event outside the restaurant.• You may not charge the agent a fee for

conducting the consumer tasting, and allliquor product used in the tasting must bepurchased from you.

• The price paid by the agent must be no lessthan the price you normally pay for theproduct and no more than the price younormally charge your customers.

• You must issue a countersigned receipt forthe dollar value of sampled product to theagent. You should also retain a copy for auditpurposes.

• All point-of-purchase show material used tosupport the consumer tasting must beprovided by the manufacturer or agent.

• The manufacturer or agent must be presentduring the entire period of the consumertasting; however, you or your staff mustdispense all liquor product.

• You must not leave open containers of liquorunattended at any time.

• You must not serve drinks by the tray load.• You may not serve minors or anyone who is

apparently under the influence of alcohol.• At the end of the consumer tasting, you must

refund the manufacturer or agent for thecost of any wine, cider, beer, coolers orspirits left unopened. You may return anyleftover liquor (opened or unopened) tostock.

HospitalityYou may accept hospitality from a liquormanufacturer or agent without a buy-sellagreement, if the cost of the hospitality is lessthan $25. (Liquor manufacturers may payadditional hospitality costs - up to $1,000 - butyou must ensure this is included in a buy-sellagreement.)

Contests (that are running ingovernment liquor stores) If a liquor manufacturer or agent is running acontest in government liquor stores, he or shemay also hold that same contest in yourrestaurant for the same period and with the samepromotional materials on display.

If you agree to hold a contest in your restaurant,the liquor manufacturer or agent must conduct

Maximum quantities perpatron at a consumertasting:

SINGLE MULTIPLEPRODUCT PRODUCT

Wines 30 ml. 45 ml.

Beer/cider/coolers 30 ml. 45 ml.

Spirits 10 ml. 20 ml.

The quantities for multiple producttasting apply only where more than oneproduct is being presented at any onetime by a single manufacturer/agent.The quantity for multiple products is atotal of all products offered. Forexample, where three varieties of wineare presented, you may offer amaximum quantity of 15 ml. of eachwine to taste.

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Food-Primary Licence 21Terms and Conditions

the contest, install all promotional items, andremove all promotional items within 10 days afterthe contest has ended. The manufacturer/agentmust also record the name of anyone who wins aprize valued at over $100.00

You may include contest entry forms in your printads, and may mention where entry forms areavailable in any of your advertising.

Activities PermittedWith A Buy-SellAgreement OnlyMore expensive promotionalmaterialsUnder a buy-sell agreement, a liquormanufacturer or agent may loan you moreexpensive promotional items with themanufacturer's name or brand, such as signs,patio umbrellas, ceramic draught beer towers,mirrors, menu boards, etc. The manufacturermay also loan you temporary display structuresand related promotional items (all displays andpromotional items remain the property of themanufacturer). You may also accept T-shirts, hatsand other promotional clothing items with amanufacturer's name or brand on them to giveaway to your customers. You may not take anypromotional items for personal use or futurepromotions, and you cannot sell them.

All promotional items and displays must beindividually listed in your buy-sell agreement. Theagreement must also identify a specific time forthe loan or promotion (six months, for example),and the manufacturer must remove allpromotional materials at the end of the identifiedtime period.

Joint promotions/brewmaster's orwinemaker's dinners You may enter into a joint promotion with aliquor manufacturer or agent to feature amanufacturer's products during a special event,such as a brewmaster's or winemaker's dinner,provided the event includes a full meal and youpurchase the liquor served at the event fromyour regular Liquor Distribution Branch liquorstore or other designated outlet.

You and the manufacturer or agent may advertisethe event. There are no limits to the number ofjoint promotions you may hold.

Contests (that are not running ingovernment liquor stores)You may hold contests in conjunction with aliquor manufacturer or agent that are not runningconcurrently in government liquor stores,provided the manufacturer/agent follows theLiquor Distribution Branch guidelines outlined intheir booklet, The Beverage Alcohol PromotionsProgram for B.C. Liquor Stores.

The liquor manufacturer or agent must conductall contests, install all promotional items, andremove all promotional items within 10 days afterthe contest has ended. The manufacturer/agentmust also record the name of anyone who wins aprize valued at over $100.

You may include contest entry forms in your printads, and may mention where entry forms areavailable in any of your advertising.

Sponsorships Manufacturers and agents may not sponsorevents or activities at your restaurant.

Educational events and activitiesYou may attend educational events or activities -such as an all-day "wine school" — put on by aliquor manufacturer or agent.

You may accept payment from the liquormanufacturer or agent for legitimate travel, meal,accommodation and entertainment expensesassociated with the educational event, up to$1,000 per year per licensee location. If you havemultiple licensed establishments - a chain ofrestaurants, for example - you may also acceptexpenses of $1,000 per person to a maximum of$3,000 per head office per year.

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22 Food-Primary LicenceTerms and Conditions

Hospitality A liquor manufacturer or agent may pay for yourhospitality expenses not associated with aneducational event, at a rate of up to $1,000 perlicensee location per year. Themanufacturer/agent may also pay for anylegitimate in-province travel costs related to theevent. (You may accept hospitality from a liquormanufacturer or agent without a buy-sellagreement, worth up to $25, at any time)

Relations with Liquor Manufacturers and Agents: A Summary(Please review chapter for exact details)

Activities not permittedYou may not:• Operate as a tied house.

• Accept a benefit, including money, items, productsor services, from a manufacturer/agent for selling aparticular liquor product.

Activities permitted at any time, without a buy-sellagreementWithout a buy-sell agreement you may:• Accept promotional items of nominal value from a

manufacturer/agent, such as coasters or tentcards.

• Buy promotional items such as branded shirts, capsor key chains from a manufacturer/agent at fairmarket value and re-sell them to your customers.

• Accept hospitality (e.g., drinks or meal) from amanufacturer/agent worth up to $25 at any onetime.

• Accept product samples from a manufacturer/agent.

• Allow a manufacturer/agent to visit your restaurantand purchase drinks for your patrons.

• Conduct a consumer tasting with amanufacturer/agent.

• Conduct a contest with a manufacturer/agent,provided the manufacturer/agent is running thesame contest at the same time in governmentliquor stores.

Activities permitted with a buy-sell agreement onlyWith a buy-sell agreement you may:• Borrow from a manufacturer/agent more expensive

promotional items, such as umbrellas, mirrors ormenu boards, and temporary display structures andrelated promotional items.

• Accept from a manufacturer/agent T-shirts, hatsand other promotional clothing items to give awayto your customers.

• Hold a joint promotion (such as a brewmaster's orwinemaker's dinner) with a manufacturer/agent.

• Conduct a contest with a manufacturer/agent thatis not also running in government liquor stores(provided you follow Liquor Distribution Branchguidelines).

• Attend educational events and activities put on by amanufacturer/agent and accept payment from theliquor manufacturer for your travel and other costs.

• Accept payment from a manufacturer/agent forhospitality costs not associated with an educationalevent or activity.

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Food-Primary Licence 23Terms and Conditions

Inspections

Why We Inspect LicensedEstablishmentsBranch liquor inspectors conduct regular,unannounced inspections of licensedestablishments to make sure licensees arefollowing the Act and Regulations and theirlicence terms and conditions, and to make surethere are timely consequences when they don't.

In addition, a liquor inspector may conduct aninspection:• in response to a complaint from a member of

the public, another licensee, a localgovernment/First Nation, police or any otheragency, or

• to follow-up on a Licensed Premises Check(LPC) issued by a police officer.

Entry of LiquorInspectors and Police OfficerYou must give liquor inspectors and policeofficers immediate access to all areas of yourestablishment on request. It is a seriouscontravention to refuse or delay providing accessto an inspector or police officer.

Producing Documents and RecordsYou must allow the general manager (or adesignated person such as a liquor inspector) toinspect documents and records associated withyour establishment, including:• liquor sales, purchase and disposal records• food sales records• sales records, invoices and purchase receipts• any agreements and contracts with liquor

manufacturers and agents, such as a buy-sellagreement.

• lease and management contracts related toyour licensed establishment

• employee records• records of the quantity and price of liquor

servings• records of any incidents or events that

occurred on or near the licensed premises,and

• any court orders or judgements against you.

Liquor Seizures and SamplingBoth liquor inspectors and the police have theauthority to seize liquor they believe might beillicit from any licensed establishment. They willeither destroy the liquor immediately or hold it instorage for 30 days.

Liquor inspectors may also take reasonablesamples of liquor found in a licensedestablishment or liquor storage area to determinewhether the liquor is illegal, unauthorized,adulterated or contaminated. An inspector doesnot need evidence that the Act or Regulationshave been breached to take a sample.

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24 Food-Primary LicenceTerms and Conditions

EnforcementContravention NoticeIf a liquor inspector believes that you or your staff arecontravening the Act, its Regulations or the terms andconditions of your licence, the inspector must issue aContravention Notice to you,that identifies the allegedcontravention.

The inspector will then review the evidence and circumstancesof the contravention inconjunction with the LiquorControl and Licensing Branch’sfile for your establishment.Based on that review, theinspector will decide whether torecommend that the generalmanager take enforcementaction against you, as thelicensee.

If the inspector does notrecommend enforcement action,he or she will keep theContravention Notice in thebranch’s file on yourestablishment, and may requireyou to attend a ComplianceMeeting.

Compliance MeetingA compliance meeting is a meeting between you andthe inspector – and possibly others, such as membersof your staff, local police, government and fire officials.

The purpose of the meeting is to promote voluntarycompliance with the liquor licensing rules and to assistyou in anticipating, and creating solutions for, potentialproblems. The inspector will prepare a written recordof what is discussed including any procedures youintend to put in place to deal with the problem, andwhen they will come into effect. Once you and theinspector have signed it, you will receive a copy, and asecond copy will be placed in your establishment’s file.

Compliance meetings are not a required step beforethe branch takes enforcement action.

Notice of EnforcementActionIf a liquor inspector recommends enforcement action,and his or her regional manager concurs, you willreceive a Notice of Enforcement Action. The Noticeof Enforcement Action will include the details of the

allegation, the proposed penalty, why the branch isrecommending enforcement action, and the reasonsfor recommending this particular penalty.

You have the option of disputing the branch’sallegations at an enforcement hearing or signing awaiver notice.

If enforcement action is pending and you have appliedfor a change to your licence — a temporary extensionto your hours, for example — the general managermay decide to wait for the outcome of theenforcement action before making a decision on thechange request.

WaiverSigning a waiver means that you• agree that the contravention occurred,• accept the penalty proposed in the Notice of

Enforcement Action,• waive the opportunity for an enforcement

hearing, and• agree that the contravention and penalty will form

part of the compliance history of the licence andthe licensee.

You may sign a waiver at any time prior to thehearing.

Pre-hearing ConferenceAfter receiving the Notice of Enforcement Action, youwill be asked to participate in a pre-hearing telephoneconference conducted by the branch’s registrar ofenforcement hearings. At the pre-hearing conference,the registrar will: • obtain your response to the allegations and

determine if an enforcement hearing is required• clarify the issues that will be addressed at the

enforcement hearing • identify and discuss the evidence that both you

and the branch plan to present at theenforcement hearing (this includes the the namesof any witnesses who will testify on your or thebranch’s behalf)

• arrange for the branch and you to exchangecopies of any documents or other evidence thatwill be introduced at the hearing

• explain the enforcement hearing process • set a date for the enforcement hearing.

If you do not participate in the pre-hearing conference,you may lose the opportunity for an oral hearing, andthe general manager may make a decision based onthe written submissions only.

Please note:As a licensee, you arelegally responsible forunderstanding and com-plying with the require-ments of the Act, itsRegulations and theterms and conditions ofyour licence, and for anycontraventions commit-ted against your licence.

You are also responsiblefor making sure youremployees follow B.C.'sliquor laws and theterms and conditions ofyour licence, even whenyou are not on site.

As the licensee, you areresponsible for any con-traventions against yourlicence.

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Food-Primary Licence 25Terms and Conditions

Enforcement HearingEnforcement hearings may be conducted in-person, viateleconference, written submission, or anycombination of these.

At an enforcement hearing, an adjudicator, who is adelegate of the general manager, will consider theevidence and argumentpresented by you andthe branch. Theadjudicator will decidewhether the allegedcontravention(s)occurred and whatenforcement action, ifany, is warranted. Theadjudicator issues awritten decisionseveral weeks after the hearing.

Possible EnforcementActionIf the adjudicator decides the contravention occurred,they may • suspend the liquor licence for a period of time • impose a monetary penalty • cancel a liquor licence• impose, rescind or amend the terms and

conditions of a licence, and• order a licensee to transfer a licence.

If the adjudicator finds that either a licence suspensionor monetary penalty is warranted, they may notimpose a penalty less than the minimums set out inSchedule 4 of the Regulation. They may impose higherpenalties when it is in the public interest to do so.They are not bound by the penalties proposed in theNotice of Enforcement Action.

The type of enforcement action imposed will dependon a number of factors, including the nature of thecontravention, the circumstances of the contravention,your establishment’s compliance history, and yourcompliance history as a licensee.Any enforcement action imposed will form part of thecompliance history of the licence and the licensee.

Serving Liquor WhileUnder SuspensionIf the enforcement process results in your food-primary licence being suspended, yourrestaurant may remain open, but you must notserve liquor during the suspension period.

Failure to abide by your suspension, includingallowing branch officials to post suspension signs,is a serious contravention that could lead to anextended licence suspension, cancellation ortransfer of your liquor licence.

Judicial ReviewIf you are dissatisfied with an enforcement hearingdecision, you may apply to the B.C. Supreme Courtfor a judicial review.

Note:You may represent yourself at ahearing, be represented by alawyer or you may berepresented by someone withwritten authority to act on yourbehalf.

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26 Food-Primary LicenceTerms and Conditions

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Food-Primary Licence APPENDIX 1 27Terms and Conditions

APPENDIX 1

Penalty ScheduleSchedule 4

Enforcement Actions

Interpretation1 (1) For the purposes of this Schedule,

(a) a contravention is of the same type as another contravention if each contravention is described by thesame Item of this Schedule, and (b) a contravention by a licensee is

(i) a first contravention if the contravention was committed at or in respect of an establishment and the licensee has not committed a contravention of the same type at or in respect of that establishment within the 12 month period preceding the commission of the contravention,

(ii) a second contravention if the contravention was committed at or in respect of an establishment and the licensee has committed one contravention of the same type at or in respect of that establishment within the 12 month period preceding the commission of the contravention, and

(iii) a subsequent contravention if the contravention was committed at or in respect of an establishment and the licensee has committed a second contravention of the same type at or in respect of that establishment within the 12 month period preceding the commission of the contravention.

(2) In section 20 (1) (c.1) of the Act and in Item 13 of this Schedule, "reasonable measures" means, in respect of a licensee, measures that are

(a) reasonable in the circumstances, and (b) reasonably within the capacity of the licensee to effect.

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28 APPENDIX 1 Food-Primary LicenceTerms and Conditions

Item ContraventionPeriod of Suspension (Days)

MonetaryPenaltyFirst Contravention Second

ContraventionSubsequent

Contravention

OPERATING OUTSIDE OF LICENCE PURPOSE

1Operation of a licensed establishment in amanner that is contrary to the primary purposeof the licence

10 - 15 20 - 30 30 - 60 $7 500 - $10 000

MINORS

2 A breach of section 33 of the Act [Selling liquor to minors] 10 - 15 20 - 30 30 - 60 $7 500 - $10 000

3 A breach of section 35 of the Act[Minors on licensed premises] 4 - 7 10 - 14 18 - 20 $5 000 - $7 500

4Rescinded (February 2007) A breach of section 45(2) of this regulation [Failure to requestidentification from person appearing to be under 25]

— — — —

GAMBLING

5A breach of section 36(2)(a) of the Act byauthorizing or permitting gambling in thelicensed establishment

4 - 7 10 - 14 18 - 20 $5 000 - $7 000

6A breach of section 36(2)(c) of the Act byauthorizing or permitting a device used forgambling to be placed, kept or maintained inthe licensed establishment

10 - 15 20 - 30 30 - 60 $7 500 - $10 000

DISORDERLY OR RIOTOUS CONDUCT

7A breach of section 36(2)(a) of the Act byauthorizing or permitting, in the licensedestablishment, drunkenness or violent,quarrelsome, riotous or disorderly conduct

10 - 15 20 - 30 30 - 60 $7 500 - $10 000

8A breach of section 36(2)(b) of the Act byauthorizing or permitting, in the licensedestablishment, any unlawful activities orconduct

10 - 15 20 - 30 30 - 60 $7 500 - $10 000

INTOXICATED PERSONS

9A breach of section 43(1) of the Act by sellingor giving liquor to an intoxicated person or aperson apparently under the influence of liquor

4 - 7 10 - 14 18 - 20 $5 000 - $7 000

10 A breach of section 43(2)(a) of the Act bypermitting a person to become intoxicated 4 - 7 10 - 14 18 - 20 $5 000 - $7 000

11A breach of section 43(2)(b) of the Act bypermitting an intoxicated person to remain inthat part of the licensed establishment whereliquor is sold or served

4 - 7 10 - 14 18 - 20 $5 000 - $7 000

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Food-Primary Licence APPENDIX 1 29Terms and Conditions

Item ContraventionPeriod of Suspension (Days)

MonetaryPenaltyFirst Contravention Second

ContraventionSubsequent

Contravention

WEAPONS

12 A breach of section 47 of the Act [Licensee'sduty - dangerous weapons] 4 - 7 10 - 14 18 - 20 $5 000 - $7 000

LICENSEE RESPONSIBLE FOR DISTURBANCE OF PERSONS IN THE VICINITY

13

A failure to take reasonable measures to ensurethat the operation of the licensed establishmentis not contrary to the public interest and doesnot disturb persons in the vicinity of theestablishment

10 - 15 20 - 30 30 - 60 $7 500 - $10 000

OVERCROWDING

14

Permitting more persons in the licensedestablishment than the patron or personcapacity set by the general manager and thenumber of persons in the licensedestablishment in less than or equal to theoccupant load

1 - 3 3 - 6 6 - 9 $1 000 - $3 000

15

Permitting more persons in the licensedestablishment than the patron or personcapacity set by the general manager and thenumber of persons in the licensedestablishment is more than the occupant load

4 - 7 10 - 14 18 - 20 $5 000 - $7 000

ILLICIT LIQUOR

16 A breach of section 38 of the Act [Unlawfulsale of liquor] 10 - 15 20 - 30 30 - 60 $7 500 - $10 000

17 A breach of section 38.1 of the Act [Unlawfulto dilute or adulterate liquor] 4 - 7 10 - 14 18 - 20 $5 000 - $7 000

18 A breach of section 39 of the Act [Unlawfulpurchase of liquor] 10 - 15 20 - 30 30 - 60 $7 500 - $10 000

19A breach of section 35(3) of this regulation byfailing to keep and maintain a register of allliquor purchased and received

1 - 3 3 - 6 6 - 9 $1 000 - $3 000

20

A breach of section 35(1) of the regulation bypurchasing liquor other than from a liquor storedesignated in writing by the general manager ordesignated by the Liquor Distribution Branch,or without identifying the licensee as a licensee

1 - 3 3 - 6 6 - 9 $1 000 - $3 000

21A breach of section 36 of this regulation byselling or providing under one licence liquorthat is purchased under another licence withoutauthorization of the general manager

10 -15 20 - 30 30 - 60 $7 500 - $10 000

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30 APPENDIX 1 Food-Primary LicenceTerms and Conditions

Item ContraventionPeriod of Suspension (Days)

MonetaryPenaltyFirst Contravention Second

ContraventionSubsequent

Contravention

LIQUOR SERVICE

22A breach of section 43 of this regulation by thelicensee failing to complete the requiredtraining program

4 - 7 10 - 14 18 - 20 $5 000 - $7 000

23A breach of section 43 of this regulation by amanager or server failing to complete therequired training program

1 - 3 3 - 6 6 - 9 $1 000 - $3 000

24

A breach of section 44 (1)(a) of this regulationby a licensee with a liquor primary licence orliquor primary club licence failing to clear thelicensed establishment of patrons within ½hour after the time stated on the licence for thehours of liquor service, or other time authorizedby the general manager

1 - 3 3 - 6 6 - 9 $1 000 - $3 000

25

A breach of section 44(1)(b) of this regulationby a licensee with a food primary licencefailing to ensure that liquor is taken frompatrons within ½ hour after the time stated onthe licence for the hours of liquor service, orother time authorized by the general manager

4 - 7 10 - 14 18 - 20 $5 000 - $7 000

26

A breach of section 44(3) of this regulation byallowing a person to consume liquor in thelicensed establishment beyond ½ hour after thetime stated on the licence for the hours ofliquor service, or other time authorized by thegeneral manager

4 - 7 10 - 14 18 - 20 $5 000 - $7 000

27A breach of section 42(3) of this regulation as aresult of an employee or the licenseeconsuming liquor while working on thelicensed premises

1 - 3 3 - 6 6 - 9 $1 000 - $3 000

28A breach of section 42(2) of this regulation bypermitting liquor not purchased from thelicensee to be consumed in the licensedestablishment

4 - 7 10 - 14 18 - 20 $5 000 - $7 000

29A breach of section 42(4) of this regulation bypermitting liquor sold in the licensedestablishment to be taken from theestablishment

1 - 3 3 - 6 6 - 9 $1 000 - $3 000

30

A breach of section 41(2) of this regulation byproviding unlimited or unspecified quantities ofliquor for a single price, using a sales strategythat is likely to promote or encourageintoxication, or altering the price of liquorduring a day after it has been set for that day

4 - 7 10 - 14 18 - 20 $5 000 - $7 000

PRODUCTION OF RECORDS

31A breach of section 73 (1) (a), 73 (2) (a) or 73(2) (b) of the Act [Failure to produce adocument or record or thing]

10 - 15 20 - 30 30 - 60 $7 500 - $ 10 000

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Food-Primary Licence APPENDIX 1 31Terms and Conditions

Item ContraventionPeriod of Suspension (Days)

MonetaryPenaltyFirst Contravention Second

ContraventionSubsequent

Contravention

ADVERTISING

32 A breach of section 49 of the Act [Display ofsigns] 1 - 3 3 - 6 6 - 9 $1 000 - $ 3000

33 A breach of section 51.1 of the Act [Advertisingliquor] or section 58 of this regulation 1 - 3 3 - 6 6 - 9 $1 000 - $3 000

ENTERTAINMENT

34Permitting in the licensed establishmententertainment by one or more exotic dancers orstrippers that is prohibited or restricted undersection 50 of the Act

4 - 7 10 - 14 18 - 20 $5 000 - $ 7 000

35Permitting in the licensed establishment anyother entertainment that is prohibited orrestricted under section 50 of the Act

1 - 3 3 - 6 6 - 9 $1 000 - $ 3000

LICENSING CONTRAVENTION

36A breach of section 15 (2) of the Act [Failureto disclose a material fact or false ormisleading statement in application]

10 - 15 20 - 30 30 - 60 $7 500 - $10 000

37A breach of section 18 of the Act [Tied houses]by failing to disclose to the general managerthe information that must be disclosed underthat section

10 - 15 20 - 30 30 - 60 $7 500 - $10 000

38A breach of section 19 (3) of the Act bytransferring shares of the licensee's capitalstock without first receiving the generalmanager's approval for that transfer

1 - 3 3 - 6 6 - 9 $1 000 - $3 000

39

A breach of section 7 of this regulation bymaking structural alteration of or change to thesize of any area of the licensed establishmentwithout first receiving the written permission ofthe general manager

1 - 3 3 - 6 6 - 9 $1 000 - $3 000

INDUCEMENTS

40A breach by the licensee or an employee of thelicensee of section 45 of the Act [Licensee not togive or accept gifts for promoting liquor]

10 - 15 20 - 30 30 - 60 $7 500 - $10 000

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32 APPENDIX 1 Food-Primary LicenceTerms and Conditions

Item ContraventionPeriod of Suspension (Days) Monetary

PenaltyFirst Contravention SecondContravention

SubsequentContravention

PROMOTIONAL ACTIVITY

40.1

A breach of section 50.1(3)(d) of this regulationby engaging in promotional activity if thatpromotional activity is required to be, but isnot, documented in an appropriate buy-sellagreement

1 - 3 3 - 6 6 - 9 $1 000 - $3 000

U-BREW/U-VIN

41A breach of section 23 of this regulation byfailing to ensure that the customer performs thelisted tasks

4 - 7 10 - 14 18 - 20 $5 000 - $7 000

42

A breach of section 22 [Payment,acknowledgment and invoice required], 24[Licensee or employee production], 25 [Storagerequirements], 26 [No consumption other thantasting], 27 [Customer required to bottle ownproduct], 28 [Removal of finished productrequired], 30 [Minors], 31 [Record keeping andreporting requirements], 32 [Advertisements]or 33 [Hours of operation] of this regulation

1 - 3 3 - 6 6 - 9 $1 000 - $ 3000

43A breach of section 29 of this regulation byfailing to ensure that beer, wine or cider is notkept, offered or produced for sale at a U-Brewor U-Vin

10 - 15 20 - 30 30 - 60 $7 500 - $10 000

DEFAULT IN MONETARY PENALTIES

44A breach of section 20 (2.6) of the Act [Failureto pay monetary penalty within 30 days orperiod specified by the general manager]

10 - 15 20 - 30 30 - 60

OTHER

45

A breach of section 20 of the Act by permittingthe sale, service or consumption of liquor whilethe licensee's licence is under suspension,or

A breach of section 67 (3) of the Act, by(a) obstruction or attempting to obstruct anentry or search by a peace officer under section67 of the Act, or(b) refusing or failing to admit immediately apeace officer demanding entry anywhere undersection 67 of the Act,orA breach of section 73 (1) (b) (ii) or (iii) of theAct by neglecting or refusing to allow storagepremises or an establishment licensed under theAct to be inspected,orA breach of section 73 (2) (c) of the Act byneglecting or refusing to allow premises to beinspected

If the licence is notcancelled or transferred inaccordance withsection 69 of thisregulation, atleast 15 days

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Food-Primary Licence APPENDIX 1 33Terms and Conditions

Item ContraventionPeriod of Suspension (Days) Monetary

PenaltyFirst Contravention SecondContravention

SubsequentContravention

GENERAL

46Any breach of any provision of the Act, theregulations or the terms and conditions of thelicence not specifically referred to in Items 1 to 45

1 - 3 3 - 6 6 - 9 $1 000 - $3 000

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34 APPENDIX 2 Food-Primary LicenceTerms and Conditions

APPENDIX 2Taking Reasonable Measures to

Prevent DisturbancesTypes of disturbances What you can do to reduce these

disturbancesNoise caused by people talking • Limit the length of your line-upon the street in the line-up • Put up signs by the line-up and monitor the line-up to

remind people of noise issues• Make structural changes to accommodate indoor

line-up areas

Noise caused by people leaving • Put up signs by your exit doors your establishment throughout • Conduct staff training sessions to review the day "Serving it Right" principles

Noise caused by people leaving • Put up signs by your exit doorsyour establishment at closing • In the hour before you close, issue an time announcement reminding people to be aware of

your "good neighbour" policy• Post staff by exits to remind customers to be

considerate of nearby residents, and keep noise to a minimum

Noise from music and other • Close windows and upgrade ventilation systemforms of entertainment • Upgrade to double-sealed windowsthat is ongoing and can be • Reduce music volumes and monitor noise levelsheard by nearby residents • Eliminate bass frequencies that penetrate from within their homes concrete and other structural materials

• Meet with neighbours to discuss options – strive to cooperate

Noise of music that is • Install a second doorintermittent and can be • Reduce music volumesheard by nearby residents • Meet with neighbours to discuss options – strive from within their homes, to cooperatewhen customers open thedoor to go in or out ofyour establishment

Indecent or illegal behaviour • Put up extra lights on the side of your building,(e.g., urinating in public, directed to problem areassex in public, drinking in • Install video cameras directed at parking lot vehiclesparked cars in adjacent • Assign security staff to patrol parking lotsparking lot) in and around • Cooperate with local police to set up more the entrance to your establishment parking lot patrolsand in controlled parking areas • Refuse entry to customers who go frequently to

and from cars

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Food-Primary Licence APPENDIX 3 35Terms and Conditions

APPENDIX 3 Making Changes to Your

Liquor LicenceChanges that Require Approval from the

General Manager

Permanent changeYou must apply for a permanent change if you want to:• change the name of your business • change your hours of sale• change anyone or any company – owners, partners, shareholders, corporations or holding companies • transfer shares either externally to new shareholders, or internally between current shareholders, if

you are a private corporation• offer patron non-participation entertainment (such as musicians or comedians)• offer patron-participation entertainment (such as karaoke or dancing)• add a receiver or executor

Structural changeYou must apply for a structural change if you want to:• change the layout of your restaurant• change (or add to) the structure of your building • increase your capacity to the occupant load of the building as determined by fire/building officials• add an outdoor patio• change (or add) a designated smoking room• add a restaurant lounge.

Transfer of locationYou must apply for a transfer of location if you want to:• re-locate your business

Third-party or resident manager changeYou must apply for a third-party operator or resident manager change if you want to:• change (or add) a third-party lessee or management firm operating within your licensed establishment• change your resident manager, if you are a non-resident private corporation.

Temporary changeYou must apply for a temporary change if you want to: • make a change or changes for a relatively short period – usually for a special event, or to allow time for

renovations or structural alterations. These changes may include temporarily extending your normal hours of sale, your usual capacity, and/or the area that is covered by your liquor licence, or temporarily moving your business to another location entirely.

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Application Forms, Documentation and Other Required Approvals

The application form, documentation and approvals you will need depend on the type of change you are askingfor. For example:• To serve liquor after midnight or offer patron-participation entertainment, you will need an Application for

a Permanent Change to a Liquor Licence, and a resolution from your local government or First Nation.• To alter the structure or layout of your building, you will need an Application for a Structural Change

(Food-Primary), and to supply large scale floor plans.• To change or add a third-party lessee or management firm, you will need an Application for a Third-Party

Operator or Resident Manager, and to supply a range of companydocuments and a completed criminal record search form for each newperson.

• To transfer shares, you will need an application for a Permanent Changeto a Liquor Licence, and all shareholders will need to agree to a criminalrecord check.

The individual application forms explain the documentation and/orapprovals required for each type of change. The Fee Schedule for LicenceChanges lists the fee charged for each type of change.

Criminal record checksSome changes will require that you consent to a criminal record check. To do so, you must complete both thePersonal History Summary and Consent to Criminal Record Search form and the RCMP Consent for Disclosureof Criminal Record Information.

Applicants who have applied for a liquor licence and consented to a criminal record search within the previous12 months are exempt, unless requested to consent to another search by the general manager.

Applicants living outside of Canada, refugees and permanent residents who have been in Canada for less thanfive years and anyone who has been charged or convicted of a crime must also provide a statutory declaration– signed by a lawyer, Notary Public, or Commissioner for Taking Affidavits – stating that they have not beencharged or convicted of a crime, or providing details of any past charges, convictions or sentences. In addition,permanent residents who have been in Canada less than five years must attach a copy of their “Record ofLanding” (Form IMM1000, Permanent Resident Card or equivalent documentation) as provided by Citizenshipand Immigration Canada when they entered the country.

Once we have the required documents, we will send them on to the RCMP. The agency will check the person'sname and birth date and other information against criminal records across Canada, and report back to us withthe final results:

• If the search reveals no criminal record, we will continue to process your change request.

• If the RCMP are unable to confirm the information you provided on the statutory declaration and thesearch reveals a possible relevant criminal record, we will ask you to go to the local police or RCMP stationto provide fingerprints. (The police may charge a fee for this service.) Specially trained analysts willcompare these fingerprints to the prints associated with the criminal record.

Even if it turns out that an applicant does have a criminal record, however, it does not mean we willautomatically turn down the application. We will look carefully at the circumstances of the individual case – theseverity of the crime and when it was committed, for example, and what the applicant has done to change hisor her behaviour since then – and how the type of crime committed relates to the responsibilities that go with

36 APPENDIX 3 Food-Primary LicenceTerms and Conditions

Application Forms:Forms are available under “LiquorLicensing” on the provincialgovernment’s website:www.gov.bc.ca/pssgor call our toll free line: 1 866 209 2111or e-mail us at:[email protected]

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Food-Primary Licence APPENDIX 4 37Terms and Conditions

BUY-SELL AGREEMENT

BETWEEN

Parties: __________________________________ and __________________________________Liquor Manufacturer/Agent Licensee

(licence name as shown on face of licence) (licence name as shown on face of licence)

__________________________________ and __________________________________Liquor Manufacturer/Agent Licence Number Licensee Licence Number

Purpose: The contractual obligations stated below are agreed to and will be adhered to byboth Parties throughout the duration of this agreement.

Duration (must not exceed 36 months):Start Date: _________________________ End Date: _______________________

Terms Agreed to by Licensee:

1. ______________________________________________ hereby agrees to:Licensee

A. Purchase or order over the duration period:

B. Placement of promotional items, product displays, point-of-sale or similar material:_____________________________________________________________________________________________________________________________________________________________________________________over the duration period.

Terms Agreed to by Liquor Manufacturer/Agent:

2. In return for the considerations noted above ____________________________ agrees to: Liquor Manufacturer/Agent

A. Provide (promotional items such as mirrors, ceramic draft beer towers, menu boards, patio umbrellas, or T-shirts, hats, etc.):

______________________________________________________________________________________________________________________________________________________________________________________RETAIL VALUE: $________________

Buy-Sell Agreement - PAGE 2

Product Name UPC Size Quantity/Volume

holding a liquor licence.

APPENDIX 4

Sample Buy-Sell Agreement

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38 APPENDIX 4 Food-Primary LicenceTerms and Conditions

B. Conduct (theme night, manufacturer's dinner, or non-LDB approved contest): __________________________________________________________________________________________________________________________________________________________________________RETAIL VALUE: $__________

C. Implement Value-Added Promotions (on-packs, in-packs, near-packs, or coupons): ____________________________________________________________________________________________________________________________________________________________________________RETAIL VALUE: $____________

D. Other (educational events or activities):____________________________________________________________________________________________________________________________________________________________________________RETAIL VALUE: $____________

Conditions and Understanding:

Promotional activities must be directed to the consumer and promotional items must be providedto or be for the principal benefit of patrons.

This Agreement shall not exclude, restrict or otherwise prohibit the licensee from carrying,selling, or displaying the products of any other liquor manufacturer/agent.

Both Parties agree to maintain, on site, certifiable copies of this Buy-Sell Agreementand any related documents for two years after their expiry date. All such documents must beavailable and provided, without delay, when requested by the general manager of the LiquorControl and Licensing Branch.

Buy-Sell Agreements must not exceed 36 months in duration.

Value- added items may not exceed 20% of the retail price of the liquor item being promoted.

The names of recipients of prizes over $100 must be recorded and retained with this agreement.

Despite any provision in this agreement to the contrary, the Parties agree not to engage in anypromotional activity that is not, or that ceases to be, authorized under one or more of:a. The Liquor Control and Licensing Actb. The Liquor Control and Licensing Regulationc. The terms and conditions to which one or more of the parties are subject to under

licence from the Liquor Control and Licensing Branch.

This Agreement and its contents have been read and are fully understood.

Authorized Signatory:

____________________________________ and _________________________________Liquor Manufacturer/Agent Name Licensee (or manager)

____________________________________ __________________________________Position or Title Position or Title

Dated this _____ day of ______________ 2_ _ _ at ___________________, British Columbia.

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Food-Primary Licence APPENDIX 4 39Terms and Conditions

APPENDIX 5 CRTC Code For

Broadcast Advertising ofAlcoholic Beverages

Commercial messages for alcoholic beverages shall not:• attempt to influence non-drinkers of any age to drink or purchase alcoholic beverages;

• be directed at persons under the legal drinking age, associate any such product with youth or youthsymbols, or portray persons under the legal drinking age or person who could reasonably be mistaken forsuch persons in a context where any such product is being shown or promoted;

• portray the product in the context of, or in relation to, an activity attractive primarily to people under thelegal drinking age;

• contain an endorsement of the product, personally or by implication, either directly or indirectly, by anyperson, character, or group who is or is likely to be a role model for minors because of a past or presentposition of public trust, special achievement in any field of endeavour, association with charities and/oradvocacy activities benefiting children, reputation or exposure in the mass media;

• attempt to establish the product as a status symbol, a necessity for the enjoyment of life or an escape fromlife's problems, or attempt to establish that consumption of the product should take precedence over otheractivities;

• imply directly or indirectly that social acceptance, social status, personal success, or business or athleticachievement may be acquired, enhanced, or reinforced through consumption of this product;

• imply directly or indirectly that the presence or consumption of alcohol is, in any way, essential to theenjoyment of an activity or an event;

• portray any such product, or its consumption, in an immoderate way;

• exaggerate the importance or effect of any aspect of the product or its packaging;

• show or use language that suggests, in any way, product misuse or product dependency, compulsivebehaviour, urgency of need or urgency of use;

• use imperative language to urge people to purchase or consume the product;

• introduce the product in such a way or at such a time that it may be associated with the operation of anyvehicle or conveyance requiring skill;

• introduce the product in such a way or at such a time as may associate the product with any activityrequiring a significant degree of skill, care or mental alertness or involving an obvious element of danger;

• contain inducements to prefer an alcoholic beverage because of its higher alcoholic content;

• refer to the feeling and effect caused by alcohol consumption or show or convey the impression, bybehaviour or comportment, that the people depicted in the message are under the influence of alcohol;

• portray persons with any such product in situations in which the consumption of alcohol is prohibited; or

• contain scenes in which any such product is consumed, or that give the impression, visually or in sound,

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that it is being or has been consumed.

40 APPENDIX 4 Food-Primary LicenceTerms and Conditions

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NOTES:

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PSSG-07003-FPrevised June 2007

LCLB200-FP