Current through Register Vol. 43, No. 39, September 26, 2024
(a) Corporations. A
corporation shall not be issued a class A club license if any officer, manager,
director, stockholder owning a beneficial interest in the corporation or spouse
of these individuals:
(1) Has been convicted
of a felony under the laws of this state, any other state or the United States;
(2) has been convicted of being
the keeper or is keeping a house of prostitution or has forfeited bond to
appear in court to answer charges of being a keeper of a house of prostitution;
(3) has been convicted of being a
proprietor of a gambling house, pandering or any other crime opposed to decency
and morality or has forfeited bond to appear in court to answer charges for any
of those crimes;
(4) is not at
least 21 years of age. This shall not apply to the spouse of the individual;
(5)
(A) Appoints or supervises any law
enforcement officer, other than as a member of the governing body of a city or
county;
(B) is a law enforcement
official; or
(C) is an employee of
the director.
Paragraph (5), above, shall not apply to an officer of a post
home, a congressionally chartered service or fraternal organization or a
benevolent association or society thereof;
(6) intends to act as the agent of another in
exercising control of the license;
(7) at the time of application for renewal of
the license issued by the director would be ineligible for the license upon a
first application. This shall not apply if the officer's, director's, manager's
or stockholder's spouse is ineligible upon the application for renewal;
(8) has had any license or permit
issued by the director revoked;
(9) has a beneficial interest in the
manufacture, preparation or wholesale or retail sale of alcoholic liquors or a
beneficial interest in any other club or drinking establishment licensed by the
director. Any officer, manager, director, stockholder or spouse of these
individuals may own a beneficial interest in a distributor or retailer if the
club purchases no alcoholic liquor from that distributor or retailer; and
(10) has been an officer, manager
or director or a stockholder owning a beneficial interest in a corporation
which:
(A) Has had a license revoked under
the provisions of the club and drinking establishment act; or
(B) has been convicted of a violation of the
club and drinking establishment act or the cereal malt beverage laws of this
state.
(b)
Business trusts or associations. A business trust or association shall not be
issued a class A club license if any officer, director, manager, owner who owns
a beneficial interest in the business trust or association or a spouse of any
of these individuals:
(1) Has been convicted
of a felony under the laws of this state, any other state or the United States;
(2) has been convicted of being
the keeper or is keeping a house of prostitution or has forfeited bond to
appear in court to answer charges of being a keeper of a house of prostitution;
(3) has been convicted of being a
proprietor of a gambling house, pandering or any other crime opposed to decency
and morality or has forfeited bond to appear in court to answer charges for any
of those crimes;
(4) is not at
least 21 years of age. This shall not apply to the spouse of the individual;
(5)
(A) Appoints or supervises any law
enforcement officer, other than as a member of the governing body of a city or
county;
(B) is a law enforcement
official; or
(C) is an employee of
the director;
Paragraph (5), above, shall not apply to an officer of a post
home, a congressionally chartered service or fraternal organization or a
benevolent association or society thereof;
(6) intends to act as the agent of another in
exercising control of the license;
(7) at the time of application for renewal of
the license issued by the director would be ineligible for the license upon a
first application. This shall not apply if the officer's, director's, manager's
or owner's spouse is ineligible upon the application for renewal;
(8) has had any license or permit issued by
the director revoked;
(9) has a
beneficial interest in the manufacture, preparation or wholesale or retail sale
of alcoholic liquors or a beneficial interest in any other club or drinking
establishment licensed by the director. Any officer, director, manager, owner
or spouse of the same may own a beneficial interest in a distributor or
retailer if the club licensed by the director purchases no alcoholic liquor
from the distributor or retailer; and
(10) has been an officer, manager, director
or stockholder owning a beneficial interest of a corporation which:
(A) Has has a license revoked under the
provisions of the club and drinking establishment act; or
(B) has been convicted of a violation of the
club and drinking establishment act or the cereal malt beverage laws of this
state.
(c)
Partnerships. A partnership shall not be issued a class A club license if any
manager, partner or spouse of a manager or partner:
(1) Has been convicted of a felony under the
laws of this state, any other state or the United States;
(2) has been convicted of being the keeper or
is keeping a house of prostitution or has forfeited bond to appear in court to
answer charges of being a keeper of a house of prostitution;
(3) has been convicted of being a proprietor
of a gambling house, pandering or any other crime opposed to decency and
morality or has forfeited bond to appear in court to answer charges for any of
those crimes;
(4) is not at least
21 years of age. This shall not apply to the spouse of the partner or manager;
(5)
(A) Appoints or supervises any law
enforcement officer, other than as a member of the governing body of a city or
county;
(B) is a law enforcement
official; or
(C) is an employee of
the director;
Paragraph (5), above, shall not apply to an officer of a post
home, congressionally chartered service or fraternal organization or a
benevolent association or society thereof;
(6) intends to act as the agent of another in
exercising control of the license;
(7) at the time of application for renewal of
the license issued by the director would be ineligible for the license upon a
first application. This shall not apply if the manager's or partner's spouse is
ineligible upon the application for renewal;
(8) has had any license or permit issued by
the director revoked;
(9) has a
beneficial interest in the manufacture, preparation or wholesale or retail sale
of alcoholic liquors or a beneficial interest in any other club or drinking
establishment licensed by the director. A manager, partner or spouse of the
same may own a beneficial interest in a distributor or retailer if the club
licensed by the director purchases no alcoholic liquor from that distributor or
retailer;
(10) has been an
officer, manager, director or stockholder owning a beneficial interest of a
corporation which:
(A) Has had a license
revoked under the provisions of the club and drinking establishment act; or
(B) has been convicted of a
violation of the club and drinking establishment act or the cereal malt
beverage laws of this state;
(11) has been a citizen of the United States
for less than 10 years. This shall not apply to the spouse of the manager or
partner;
(12) has been a resident
of the state of Kansas for less than one year immediately preceding the date of
application. This shall not apply to the spouse of the manager or partner; and
(13) is not a resident of the
county in which the club is to be located. This shall not apply to the spouse
of the manager or partner.
(d) Every corporate applicant shall be a
Kansas domestic not-for-profit corporation.
(e) For the purpose of determining
qualifications under subsections (a), (b) and (c) of this regulation, any
person who leases premises to a class A club upon terms which result in the
lessor having a beneficial interest in the club's business, shall be deemed to
be a partner in the club's business. A lessor shall be deemed to have a
beneficial interest in a club's business, if the lessor receives as rent, in
whole or in part, a percentage of the club's gross receipts or profits from the
sale of alcoholic liquor, other items to be mixed with alcoholic liquor, or
club membership fees. Percentage rent provisions that exclude these items shall
be subject to review and approval by the director.
