2006 Utah Code - 32A-4-106 — Operational restrictions.

     32A-4-106.   Operational restrictions.
     Each person granted a restaurant liquor license and the employees and management personnel of the restaurant shall comply with the following conditions and requirements. Failure to comply may result in a suspension or revocation of the license or other disciplinary action taken against individual employees or management personnel.
     (1) (a) Liquor may not be purchased by a restaurant liquor licensee except from state stores or package agencies.
     (b) Liquor purchased may be transported by the restaurant liquor licensee from the place of purchase to the licensed premises.
     (c) Payment for liquor shall be made in accordance with rules established by the commission.
     (2) A restaurant liquor licensee may sell or provide a primary spirituous liquor only in a quantity not to exceed one ounce per beverage dispensed through a calibrated metered dispensing system approved by the department in accordance with commission rules adopted under this title, except that:
     (a) spirituous liquor need not be dispensed through a calibrated metered dispensing system if used as a secondary flavoring ingredient in a beverage subject to the following restrictions:
     (i) the secondary ingredient may be dispensed only in conjunction with the purchase of a primary spirituous liquor;
     (ii) the secondary ingredient is not the only spirituous liquor in the beverage;
     (iii) the restaurant liquor licensee shall designate a location where flavorings are stored on the floor plan provided to the department; and
     (iv) all flavoring containers shall be plainly and conspicuously labeled "flavorings";
     (b) spirituous liquor need not be dispensed through a calibrated metered dispensing system if used:
     (i) as a flavoring on desserts; and
     (ii) in the preparation of flaming food dishes, drinks, and desserts;
     (c) each restaurant patron may have no more than 2.75 ounces of spirituous liquor at a time; and
     (d) each restaurant patron may have no more than one spirituous liquor drink at a time before the patron.
     (3) (a) (i) Wine may be sold and served by the glass or in an individual portion not to exceed five ounces per glass or individual portion.
     (ii) An individual portion of wine may be served to a patron in more than one glass as long as the total amount of wine does not exceed five ounces.
     (iii) An individual portion of wine is considered to be one alcoholic beverage under Subsection (7)(e).
     (b) (i) Wine may be sold and served in containers not exceeding 1.5 liters at prices fixed by the commission to tables of four or more persons.
     (ii) Wine may be sold and served in containers not exceeding 750 ml at prices fixed by the commission to tables of less than four persons.
     (c) A wine service may be performed and a service charge assessed by the restaurant as authorized by commission rule for wine purchased at the restaurant.
     (4) (a) Heavy beer may be served in original containers not exceeding one liter at prices

fixed by the commission.
     (b) A service charge may be assessed by the restaurant as authorized by commission rule for heavy beer purchased at the restaurant.
     (5) (a) (i) Subject to Subsection (5)(a)(ii), a restaurant licensed to sell liquor may sell beer for on-premise consumption:
     (A) in an open container; and
     (B) on draft.
     (ii) Beer sold pursuant to Subsection (5)(a)(i) shall be in a size of container that does not exceed two liters, except that beer may not be sold to an individual patron in a size of container that exceeds one liter.
     (b) A restaurant licensed under this chapter that sells beer pursuant to Subsection (5)(a):
     (i) may do so without obtaining a separate on-premise beer retailer license from the commission; and
     (ii) shall comply with all appropriate operational restrictions under Chapter 10, Beer Retailer Licenses, that apply to on-premise beer retailers except when those restrictions are inconsistent with or less restrictive than the operational restrictions under this part.
     (c) Failure to comply with the operational restrictions under Chapter 10, Beer Retailer Licenses, required by Subsection (5)(b) may result in a suspension or revocation of the restaurant's:
     (i) state liquor license; and
     (ii) alcoholic beverage license issued by the local authority.
     (6) Alcoholic beverages may not be stored, served, or sold in any place other than as designated in the licensee's application, unless the licensee first applies for and receives approval from the department for a change of location within the restaurant.
     (7) (a) (i) A patron may only make alcoholic beverage purchases in the restaurant from and be served by a person employed, designated, and trained by the licensee to sell and serve alcoholic beverages.
     (ii) Notwithstanding Subsection (7)(a)(i), a patron who has purchased bottled wine from an employee of the restaurant or has carried bottled wine onto the premises of the restaurant pursuant to Subsection (14) may thereafter serve wine from the bottle to the patron or others at the patron's table.
     (b) Alcoholic beverages shall be delivered by a server to the patron.
     (c) Any alcoholic beverage may only be consumed at the patron's table or counter.
     (d) Alcoholic beverages may not be served to or consumed by a patron at a bar.
     (e) Each restaurant patron may have no more than two alcoholic beverages of any kind at a time before the patron, subject to the limitation in Subsection (2)(d).
     (8) The liquor storage area shall remain locked at all times other than those hours and days when liquor sales are authorized by law.
     (9) (a) Liquor may not be sold, offered for sale, served, or otherwise furnished at a restaurant during the following days or hours:
     (i) until after the polls are closed on the day of any:
     (A) regular general election;
     (B) regular primary election; or
     (C) statewide special election;
     (ii) until after the polls are closed on the day of any municipal, special district, or school

election, but only:
     (A) within the boundaries of the municipality, special district, or school district; and
     (B) if required by local ordinance; and
     (iii) on any other day after 12 midnight and before 12 noon.
     (b) The hours of beer sales and service are those specified in Chapter 10, Beer Retailer Licenses, for on-premise beer licensees.
     (10) Alcoholic beverages may not be sold except in connection with an order for food prepared, sold, and served at the restaurant.
     (11) Alcoholic beverages may not be sold, served, or otherwise furnished to any:
     (a) minor;
     (b) person actually, apparently, or obviously intoxicated;
     (c) known habitual drunkard; or
     (d) known interdicted person.
     (12) (a) (i) Liquor may be sold only at prices fixed by the commission.
     (ii) Liquor may not be sold at discount prices on any date or at any time.
     (b) An alcoholic beverage may not be sold at less than the cost of the alcoholic beverage to the licensee.
     (c) An alcoholic beverage may not be sold at a special or reduced price that encourages over consumption or intoxication.
     (d) An alcoholic beverage may not be sold at a special or reduced price for only certain hours of the restaurant's business day such as a "happy hour."
     (e) The sale or service of more than one alcoholic beverage for the price of a single alcoholic beverage is prohibited.
     (f) The sale or service of an indefinite or unlimited number of alcoholic beverages during any set period for a fixed price is prohibited.
     (g) A restaurant licensee may not engage in a public promotion involving or offering free alcoholic beverages to the general public.
     (13) Alcoholic beverages may not be purchased for a patron of a restaurant by:
     (a) the licensee; or
     (b) any employee or agent of the licensee.
     (14) (a) A person may not bring onto the premises of a restaurant liquor licensee any alcoholic beverage for on-premise consumption, except a person may bring, subject to the discretion of the licensee, bottled wine onto the premises of any restaurant liquor licensee for on-premise consumption.
     (b) Except bottled wine under Subsection (14)(a), a restaurant liquor licensee or its officers, managers, employees, or agents may not allow:
     (i) a person to bring onto the restaurant premises any alcoholic beverage for on-premise consumption; or
     (ii) consumption of any such alcoholic beverage on its premises.
     (c) If bottled wine is carried in by a patron, the patron shall deliver the wine to a server or other representative of the licensee upon entering the restaurant.
     (d) A wine service may be performed and a service charge assessed by the restaurant as authorized by commission rule for wine carried in by a patron.
     (15) (a) Except as provided in Subsection (15)(b), a restaurant licensee and its employees may not permit a restaurant patron to carry from the restaurant premises an open container that:

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     (i) is used primarily for drinking purposes; and
     (ii) contains any alcoholic beverage.
     (b) Notwithstanding Subsection (15)(a), a restaurant patron may remove from the restaurant the unconsumed contents of a bottle of wine purchased in the restaurant, or brought onto the premises of the restaurant in accordance with Subsection (14), provided the bottle has been recorked or recapped before removal.
     (16) (a) A minor may not be employed by a restaurant licensee to sell or dispense alcoholic beverages.
     (b) Notwithstanding Subsection (16)(a), a minor may be employed to enter the sale at a cash register or other sales recording device.
     (17) An employee of a restaurant liquor licensee, while on duty, may not:
     (a) consume an alcoholic beverage; or
     (b) be intoxicated.
     (18) Any charge or fee made in connection with the sale, service, or consumption of liquor may be stated in food or alcoholic beverage menus including:
     (a) a set-up charge;
     (b) a service charge; or
     (c) a chilling fee.
     (19) Each restaurant liquor licensee shall display in a prominent place in the restaurant:
     (a) the liquor license that is issued by the department;
     (b) a list of the types and brand names of liquor being served through its calibrated metered dispensing system; and
     (c) a sign in large letters stating: "Warning: Driving under the influence of alcohol or drugs is a serious crime that is prosecuted aggressively in Utah."
     (20) The following acts or conduct in a restaurant licensed under this chapter are considered contrary to the public welfare and morals, and are prohibited upon the premises:
     (a) employing or using any person in the sale or service of alcoholic beverages while the person is unclothed or in attire, costume, or clothing that exposes to view any portion of the female breast below the top of the areola or any portion of the pubic hair, anus, cleft of the buttocks, vulva, or genitals;
     (b) employing or using the services of any person to mingle with the patrons while the person is unclothed or in attire, costume, or clothing described in Subsection (20)(a);
     (c) encouraging or permitting any person to touch, caress, or fondle the breasts, buttocks, anus, or genitals of any other person;
     (d) permitting any employee or person to wear or use any device or covering, exposed to view, that simulates the breast, genitals, anus, pubic hair, or any portion of these;
     (e) permitting any person to use artificial devices or inanimate objects to depict any of the prohibited activities described in this Subsection (20);
     (f) permitting any person to remain in or upon the premises who exposes to public view any portion of that person's genitals or anus; or
     (g) showing films, still pictures, electronic reproductions, or other visual reproductions depicting:
     (i) acts or simulated acts of sexual intercourse, masturbation, sodomy, bestiality, oral copulation, flagellation, or any sexual acts prohibited by Utah law;
     (ii) any person being touched, caressed, or fondled on the breast, buttocks, anus, or

genitals;
     (iii) scenes wherein artificial devices or inanimate objects are used to depict, or drawings are used to portray, any of the prohibited activities described in this Subsection (20); or
     (iv) scenes wherein a person displays the vulva or the anus or the genitals.
     (21) Nothing in Subsection (20) precludes a local authority from being more restrictive of acts or conduct of the type prohibited in Subsection (20).
     (22) (a) Although live entertainment is permitted on the premises of a restaurant liquor licensee, a licensee may not allow any person to perform or simulate sexual acts prohibited by Utah law, including sexual intercourse, masturbation, sodomy, bestiality, oral copulation, flagellation, the touching, caressing, or fondling of the breast, buttocks, anus, or genitals, or the displaying of the pubic hair, anus, vulva, or genitals. Entertainers shall perform only upon a stage or at a designated area approved by the commission.
     (b) Nothing in Subsection (22)(a) precludes a local authority from being more restrictive of acts or conduct of the type prohibited in Subsection (22)(a).
     (23) A restaurant liquor licensee may not engage in or permit any form of gambling, or have any video gaming device, as defined and proscribed by Title 76, Chapter 10, Part 11, Gambling, on the premises of the restaurant liquor licensee.
     (24) (a) Each restaurant liquor licensee shall maintain an expense ledger or record showing in detail:
     (i) quarterly expenditures made separately for:
     (A) malt or brewed beverages;
     (B) set-ups;
     (C) liquor;
     (D) food; and
     (E) all other items required by the department; and
     (ii) sales made separately for:
     (A) malt or brewed beverages;
     (B) set-ups;
     (C) food; and
     (D) all other items required by the department.
     (b) The record required by Subsection (24)(a) shall be kept:
     (i) in a form approved by the department; and
     (ii) current for each three-month period.
     (c) Each expenditure shall be supported by:
     (i) delivery tickets;
     (ii) invoices;
     (iii) receipted bills;
     (iv) canceled checks;
     (v) petty cash vouchers; or
     (vi) other sustaining data or memoranda.
     (d) In addition to a ledger or record required under Subsection (24)(a), a restaurant liquor licensee shall maintain accounting and other records and documents as the department may require.
     (e) Any restaurant or person acting for the restaurant, who knowingly forges, falsifies, alters, cancels, destroys, conceals, or removes the entries in any of the books of account or other

documents of the restaurant required to be made, maintained, or preserved by this title or the rules of the commission for the purpose of deceiving the commission or the department, or any of their officials or employees, is subject to:
     (i) the suspension or revocation of the restaurant's liquor license; and
     (ii) possible criminal prosecution under Chapter 12, Criminal Offenses.
     (25) (a) A restaurant liquor licensee may not close or cease operation for a period longer than 240 hours, unless:
     (i) the restaurant liquor licensee notifies the department in writing at least seven days before the closing; and
     (ii) the closure or cessation of operation is first approved by the department.
     (b) Notwithstanding Subsection (25)(a), in the case of emergency closure, immediate notice of closure shall be made to the department by telephone.
     (c) The department may authorize a closure or cessation of operation for a period not to exceed 60 days. The department may extend the initial period an additional 30 days upon written request of the restaurant licensee and upon a showing of good cause. A closure or cessation of operation may not exceed a total of 90 days without commission approval.
     (d) Any notice shall include:
     (i) the dates of closure or cessation of operation;
     (ii) the reason for the closure or cessation of operation; and
     (iii) the date on which the licensee will reopen or resume operation.
     (e) Failure of the licensee to provide notice and to obtain department authorization prior to closure or cessation of operation shall result in an automatic forfeiture of:
     (i) the license; and
     (ii) the unused portion of the license fee for the remainder of the license year effective immediately.
     (f) Failure of the licensee to reopen or resume operation by the approved date shall result in an automatic forfeiture of:
     (i) the license; and
     (ii) the unused portion of the license fee for the remainder of the license year.
     (26) Each restaurant liquor licensee shall maintain at least 70% of its total restaurant business from the sale of food, which does not include mix for alcoholic beverages or service charges.
     (27) A restaurant liquor license may not be transferred from one location to another, without prior written approval of the commission.
     (28) (a) A person, having been granted a restaurant liquor license may not sell, transfer, assign, exchange, barter, give, or attempt in any way to dispose of the license to any other person whether for monetary gain or not.
     (b) A restaurant liquor license has no monetary value for the purpose of any type of disposition.
     (29) Each server of alcoholic beverages in a licensee's establishment shall keep a written beverage tab for each table or group that orders or consumes alcoholic beverages on the premises. The beverage tab shall list the type and amount of alcoholic beverages ordered or consumed.
     (30) A person's willingness to serve alcoholic beverages may not be made a condition of employment as a server with a restaurant that has a restaurant liquor license.

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Amended by Chapter 268, 2004 General Session