Revocation of License

HRS div. 1, tit. 16, ch. 281, pt. VI

in effect

HRS §281-91 Revocation or suspension of license; hearing

281-91. Revocation or suspension of license; hearing The liquor commission or liquor control adjudication board may revoke any license at any time issued, or suspend the right of the licensee to use the licensee's license, or assess and collect a penalty, or reprimand the licensee, either for the violation of any condition of the license or of any provisions of this chapter or of any rule applicable thereto, or upon the conviction in a court of law of the licensee of any violation of this chapter or of any other law relative to the licensee's license or the proper exercise thereof, or of any violation of law in any other respect on account whereof the commission or board may deem the licensee to be an unfit or improper person to hold a license, or for any other cause deemed sufficient by the commission or board. In every case where it is proposed to revoke or suspend the exercise of any license or assess and collect a penalty for any cause other than a conviction at law of the licensee as above specified, the licensee shall be entitled to notice and hearing in conformity with chapter 91, the notice to be given at least five days before the hearing, except that any special license shall be subject to summary revocation for any violation of or evidence of intent to violate the proper exercise thereof, without hearing before the commission or board. At the hearing, before final action is taken by the commission or board, the licensee shall be entitled to be heard in person or through counsel and shall be given a full and fair opportunity to present any facts showing that the alleged cause or causes for the proposed action do not exist, or any reasons why no penalty should be imposed. The testimony taken at the hearing shall be under oath and recorded stenographically, or by machine, but the parties shall not be bound by the strict rules of evidence; certified copies of any transcript and of any other record made of or at the hearing shall be furnished to the licensee upon the licensee's request and at the licensee's expense. Any order of revocation, suspension, fine, or reprimand imposed by the commission or board upon the licensee shall be in addition to any penalty that might be imposed upon the licensee upon the licensee's conviction at law for any violation of this chapter. No licensee shall be subject to both the penalty assessed and collected by the commission or board and to revocation or suspension of license. The amount of penalty assessed and collected by the commission or board from any licensee for any particular offense shall not exceed the sum of $5,000. Whenever the service of any order or notice shall be required by this section, the service shall be made in the following manner: in the case of any violation based upon the personal observation of any investigator, a written notice of the violation shall be given to the licensee or the licensee's registered manager in active charge of the premises, or by serving a certified copy of the notice or order upon the holder of the license wherever the holder may be found in the circuit wherein the holder is licensed, or, if the holder cannot be found after diligent search, by leaving a certified copy thereof at the holder's dwelling house or usual place of abode with some person of suitable age and discretion residing therein; and if the holder of the license cannot be found after diligent search, and service cannot be made, then service may be made by posting a certified copy of the notice or order in a conspicuous place on the licensed premises and depositing another certified copy thereof in the certified mail of the United States post office, postage prepaid, addressed to the holder of the license at the holder's last known residence address; provided that in the case of a partnership, corporation, unincorporated association, or limited liability company, service may be made upon any partner, officer, or member thereof. [L Sp 1933, c 40, §55; RL 1935, §2624; am L Sp 1941, c 89, §1(f); RL 1945, §7275; am L 1949, c 314, §1; RL 1955, §159-90; am L 1957, c 321, §1(h); am L 1965, c 96, §98; HRS §281-91; am L 1976, c 87, §5; gen ch 1985; am L 1987, c 223, §3; am L 1990, c 171, §29; am L 1998, c 90, §5 and c 249, §12; am L 2022, c 45, §2]

HRS §281-92 Appeals

281-92. Appeals Any licensee aggrieved by any order assessing or providing for the collection of a penalty, or by any order suspending or revoking any license, may appeal therefrom in the manner provided in chapter 91 to the circuit court of the circuit in which the liquor commission or liquor control adjudication board making the order has jurisdiction and the judgment of the court shall be subject to review, subject to chapter 602, in the manner provided for civil appeals from the circuit courts. [L Sp 1941, c 41, §1; RL 1945, §7276; am L 1951, c 280, §1; RL 1955, §159-91; am L 1965, c 96, §99; HRS §281-92; am L 1979, c 149, §2; am L 1980, c 232, §11; am L 1998, c 249, §13; am L 2004, c 202, §35; am L 2006, c 94, §1; am L 2010, c 109, §1]

HRS §281-93 Reports to prosecuting officers

281-93. Reports to prosecuting officers When the revocation or suspension of any license is by reason of any violation of law the liquor commission or the administrator shall report the facts to the prosecuting officer for prosecution. [L Sp 1933, c 40, §56; RL 1935, §2625; RL 1945, §7277; RL 1955, §159-92; HRS §281-93; am L 1998, c 249, §14]

HRS §281-94 Forfeiture of fee paid

281-94. Forfeiture of fee paid If any license is revoked or canceled by the liquor commission or liquor control adjudication board, the fee paid for the license or any unexpended portion thereof shall be forfeited to the county. [L Sp 1933, c 40, §57; RL 1935, §2626; RL 1945, §7278; RL 1955, §159-93; HRS §281-94; am L 1998, c 249, §15; am L 2006, c 44, §3]

HRS §281-95 Bankruptcy, insolvency, death

281-95. Bankruptcy, insolvency, death If a licensee becomes a legally adjudicated bankrupt, or makes an assignment for the benefit of the licensee's creditors, or dies, before the expiration of the term of the licensee's license, the licensee's trustee in bankruptcy, assignee, or personal representative, as the case may be, may, with the consent of the liquor commission, continue to exercise the license for the purpose of closing the affairs of the estate; but if not so continued within forty-five days the commission shall cancel the license. If a mortgage on the premises covered by a license is foreclosed before the expiration of the term of the license, the mortgagee, or the mortgagee's authorized representative or a duly appointed commissioner of sale may, with the consent of the commission, continue to exercise the license or continue it in effect for the purpose of completing a sale of the premises under the foreclosure proceedings. Notwithstanding any rule or regulation of the commission to the contrary, the payment of any renewal fee for a license issued for the premises involved in foreclosure proceedings or additional fee accrued on the basis of gross sales made under such a license may be withheld until sale of the premises has been completed. [L Sp 1933, c 40, §58; RL 1935, §2627; RL 1945, §7279; RL 1955, §159-94; am L 1959, c 207, §1; HRS §281-95; am L 1976, c 87, §6 and c 200, pt of §1; gen ch 1985]

HRS §281-96 Cancellation

281-96. Cancellation If the use of the premises covered by any license becomes lost to the licensee by reason of being sold under foreclosure proceedings, or a civil execution, or other legal process, or for any other cause, which shall force a cessation of the business of the licensee thereon under the license (other than by a revocation or suspension of the licensee's license), the liquor commission may cancel or suspend the license unless the liquor commission has approved the safekeeping of the license pursuant to section 281-41(j). [L Sp 1933, c 40, §59; RL 1935, §2628; RL 1945, §7280; RL 1955, §159-95; HRS §281-96; am L 1976, c 87, §7; gen ch 1985; am L 1990, c 171, §30; am L 2017, c 184, §6]

HRS §281-97 When sale without license authorized

281-97. When sale without license authorized In case a license is revoked or canceled or not renewed, the licensee may with the permission of and upon the conditions set by the liquor commission sell intoxicating liquors then in the licensee's possession within sixty days, or within such additional time allowed by the commission, unless under this chapter the same are seized or forfeited. Any bank, trust company, or financial institution owning or possessing intoxicating liquor which was acquired by the bank, trust company, or financial institution in the ordinary course of its business, may sell the intoxicating liquor with the permission of and upon conditions set by the commission. Any person acting as personal representative, or guardian of a licensee's estate, or any receiver, assignee for benefit of creditors, trustee in bankruptcy, may sell the stock of intoxicating liquor with the permission of and upon conditions set by the commission, except as otherwise provided in this chapter. Any insurance company, or any common carrier acting as an insurer for losses to persons shipping intoxicating liquor, may take possession of and sell the intoxicating liquor, the containers of which have been damaged by fire or otherwise, with the permission of and upon conditions set by the commission. Any person in possession of a stock of lawfully acquired intoxicating liquor under a foreclosure proceeding, proceedings for enforcement of a lien, civil execution, or under any other proceeding or process, may sell such intoxicating liquor with the permission of and upon conditions set by the commission. [L Sp 1933, c 40, §60; RL 1935, §2629; RL 1945, §7281; am L 1951, c 223, §1(12); RL 1955, §159-96; HRS §281-97; am L 1972, c 177, §8; am L 1976, c 200, pt of §1; gen ch 1985]

Source: Hawaii State Legislature (capitol.hawaii.gov), via Internet Archive capturesURL: http://www.capitol.hawaii.gov/hrscurrent/Vol05_Ch0261-0319/HRS0281/HRS_0281-.htmFetched: 11/10/2026