Dictionary of Liquor Licensing Terms

All-Beverage License
A license to sell liquor, beer and wine at retail for on or off premise consumption.

Alteration
Any structural change or change in the manner of operation affecting the suitability of the licensed premises.

Cabaret License
A license issued for use at a restaurant as defined in ARM 42.12.401(2)(c). Otherwise known as Restaurant Beer/Wine License (RBW).

Catering
This endorsement allows the licensee, when hired by the sponsor of a special event, to sell alcoholic beverages to persons attending the event upon premises not otherwise licensed. An all-beverage licensee can apply and pay $250.00 fee to add a catering endorsement to the license. A beer/wine licensee can apply and pay $200.00 fee to add a catering endorsement to the license.

Concession Agreement
A written agreement between a licensee and another business owner allowing the licensee to sell alcoholic beverages at that business owner's establishment. The licensee must retain all profit from the sale of alcoholic beverages.

Floater
An all-beverage license that may be transferred to a new location outside the quota area for which it was originally issued. This type of license cannot be mortgaged or sold for 3 years after the transfer.

Licensee
An individual, corporation or other business entity licensed by the state for the manufacture, sale or distribution of alcoholic beverages.

Lottery
Process by which a successful applicant is chosen from a pool of applicants to apply for an available license.

Manager
A person hired by the licensee to oversee the day-to-day operation of the alcoholic beverages business.

Non-use
Term applies to a license not actually used in an operational establishment for a period of 90 days.

On-Premises
A retail license to sell beer or table wine by the drink for consumption on the licensed premises. Can also sell for off-premises consumption (except Restaurant Beer/Wine licenses).

Off-Premises
A retail license to sell beer or table wine for consumption off the licensed premises.

Premises
One building, or a specific portion(s) of one building, which contain all service areas used by the licensee and the licensees patrons and those service areas in which the licensee operates outside of and attached to the licensed building and to which patrons are permitted free access from the building. ARM 42.13.105(1)

Public Convenience and Necessity
The indication that the issuance of the license will materially promote the public's ability to engage in the licensed activity.

Restaurant Beer/Wine License (RBW)
A license issued for use at a restaurant as defined in ARM 42.12.401(2)(c). Otherwise known as Cabaret License.

Special Permit
See ARM 42.12.106(19)

Suitability of Premise
The area to be licensed meets requirements of law and rule as a location suitable for the carrying on of an alcoholic beverages business.

Temporary Authority
Written authority given by the department upon a bona fide sale of the business operated under the license to a purchaser to operate the business being transferred pending final approval. Temporary Authority applies only if there has not been a change in location and the application for transfer has been filed with the department. Temporary authority cannot be granted if the application is for a new license or a transfer of location.

Transfer of Ownership (T/O)

Transfer of Location
To move a license to a different location than the location where it was originally issued.