TABC LAW

The Texas Alcoholic Beverage Commission (TABC) is the state agency that regulates all phases of the alcoholic beverage industry in Texas. The duties of the TABC include regulating sales, taxation, importation, manufacturing, transporting, and advertising of alcoholic beverages.

Grant, refuse, suspend, or cancel permits and licenses in all phases of the alcoholic beverage industry;

Supervise, inspect, and regulate the manufacturing, importation, exportation, transportation, sale, storage, distribution, and possession of alcoholic beverages;

Assess and collect fees and taxes

Investigate for violations of the Alcoholic Beverage Code and assist in the prosecution of violators;

Seize illicit beverages;

Adopt standards of quality and approve labels and size of containers for all alcoholic beverages sold in Texas; and

Pass rules to assist the agency in all of the above.

In addition to assisting its clients in obtaining licenses and permits, the Firm also provides legal advice to clients to ensure that they and their employees are in compliance with all aspects of the Texas Alcoholic Beverage Code and the Administrative Rules of the TABC. A prime example of this is working with clients to make sure that their internal business practices meet the requirements of the Texas Alcoholic Beverage Code “Safe Harbor” provision, a statutory provision that allows a licensed or permitted employer to protect itself from negative actions against its license by the TABC in the event that an employee sells or serves alcoholic beverages to a minor or intoxicated person.

The Firm has extensive experience working with the TABC obtaining licenses and permits for variety of clients in and out of Texas, such as bars, restaurants, distributors, and importers. Whether it is starting a new business, opening an additional location, or changing the type of business, the Firm works with its clients to ensure the submission of a complete and thorough application so that delays in the applications process can be avoided. The Firm also assists its clients in addressing any issues which might arise during the application process.

Unfortunately, due to the highly regulated nature of the alcoholic beverage industry and inherent issues that can arise when serving alcoholic beverages, even the best-run businesses can receive Code violation citations or can find themselves in a legal proceeding with the TABC. In the event of such a notice or proceeding, the Firm assists its clients in responding to the citations and defending themselves if necessary.