Krupp Oil Co., Inc. v. Yeargan
Krupp Oil Co., Inc. v. Yeargan
Opinion
The plaintiff appeals from a summary judgment for the defendants, Mack Yeargan, as administrator of the Alcoholic Beverage Control Board ("ABC Board"), and Larry West, administrator of the estate of Teena West, in this declaratory judgment action challenging an ABC Board regulation.
Viewing the evidence in a light most favorable to the nonmoving parties, we find the following: Teena West was struck and killed by an automobile driven by Toni Cooley Stone. Stone was intoxicated at the time of the accident. Stone had been drinking alcohol and was intoxicated when, before the accident that killed Teena West, she entered the Sav-More Store to purchase more alcohol. The Sav-More Store is owned by the plaintiff, Krupp Oil Company ("Krupp").
Larry West sued Krupp in a wrongful death action in Tuscaloosa County, pursuant to §
Krupp then filed a declaratory judgment action in Montgomery County against Yeargan, as the ABC Board administrator, and Larry West, alleging that Regulation 20-x-6-.15(2) was unconstitutional. The declaratory judgment action was transferred to the Tuscaloosa Circuit Court, which already had the wrongful death action. The trial court entered a summary judgment in favor of Yeargan and West on the declaratory judgment action. The wrongful death action is pending the outcome of this declaratory judgment action.
Regulation 20-x-6-.15(2) provides:
"No off premise licensee, employee, or agent may sell any alcoholic beverage to any person if such person is acting in such a manner as to appear to be intoxicated."
Krupp argues that the adoption of this ABC Board regulation was an illegal attempt to usurp the legislative power of the State and that only the legislature can make illegal the conduct mentioned in the regulation. Second, Krupp argues that the adoption of the regulation violated the guarantees of procedural due process, because, it says, proper notice was not given to those who would be affected by the regulation. Third, Krupp argues that the regulation is, on its face, overbroad, vague, and ambiguous. Fourth, Krupp argues that the regulation unlawfully discriminates between licensees and state-owned stores operated by the ABC Board.
The first issue is whether the ABC Board's adoption of the regulation infringed upon the authority of the legislature. Krupp contends that §
The doctrine of separation of powers does not prohibit the legislature from delegating power to execute and administer laws, so long as the delegation carries reasonably clear standards governing execution and administration. Folsom v.Wynn,
The enactment of the Alcoholic Beverage Control Act was an exercise of the "police power of the state of Alabama for the protection of the public welfare, health, peace and morals of the people of the state." §
When a court is construing a statute intended to protect the public welfare, "great latitude should be allowed to the legislature in determining the character of such laws, and how, when, and by whom, in their practical administration, they should be applied." Ex parte Lauderdale County,
Krupp compares this case with Timmons v. City of Montgomery,
The Timmons court noted that a prior attorney general's advisory opinion had also found the statute to be void on the basis of vagueness. After the attorney general's opinion was released, but before the Court of Criminal Appeals issued its decision, the Department of Public Safety attempted to amend the statute. The Department of Public Safety adopted a rule that further defined "window tinting." The rule specifically set out percentages to which light could be transmitted through or reflected from a window and, thus, defined the criminal offense of window tinting. The court held that the rule was an improper attempt to circumvent the legislative process. "Only the legislature can make law and only the legislature has the authority to define what is law." 641 So.2d at 1266.
The Dram Shop Act, §
"(a) Every wife, child, parent or other person who shall be injured in person, property or means of support by any intoxicated person or in consequence of the intoxication of any person shall have a right of action against any person who shall, by selling, giving, or otherwise disposing of to another, contrary to the provisions of law, any liquors or beverages, cause the intoxication of such person for all damages actually sustained, as well as exemplary damages."
(Emphasis added.)
In §
Notably, former §
In 1982, the ABC Board promulgated Regulation 20-x-6-.02, which prohibits an on-premises licensee from dispensing alcohol to visibly intoxicated persons. It is clear that Regulation 20-x-6-.02 is limited in its application to on-premises licensees of the ABC Board.
In 1984, this Court issued Buchanan v. Merger Enterprises,Inc.,
The Buchanan Court surmised that it was not the legislature's intention in repealing §
In Evans v. Sunshine-Jr. Stores, Inc.,
It is a fundamental concept of constitutional law that the legislature cannot delegate to another branch of government its authority to make law. However when it legislates in broad terms, the legislature is not prevented from leaving a certain degree of discretion to executive actors to administer and enforce the law. So long as the legislature has established reasonably clear standards for guiding the administrator in enforcing the will of the legislature, the delegation is not a violation of constitutional law.
The Alabama legislature has been clear in its policy regarding the scope of the ABC Board's authority to promulgate rules affecting the sale of alcoholic beverages within the State. Inherent in the legislature's intent to implement governmental supervision of alcohol sales is the public interest in preventing alcohol-related injuries and deaths. Specifically, the ABC Board is charged with the duty of "control[ing] the possession, sale, consumption, importation, use and delivery of liquor, alcohol and malt and brewed beverages." §
The legislature, in the Dram Shop Act, has stated its intent to provide for a cause of action when injury or death results from the "selling, giving or otherwise disposing of" alcohol "contrary to . . . law." The ABC Board has been vested with the power to regulate the sale of alcoholic beverages. Regulation 20-x-6-.15(2) forbids off-premises licensees from selling alcohol to those already intoxicated and, therefore, merely administers the will of the legislature in vesting the ABC Board with the power to regulate the sale of alcohol. Additionally, this Court, in Buchanan and Evans, has recognized the ABC Board's authority to promulgate the regulation regarding on-premises licensees. Forbidding off-premises licensees from the same conduct as is prohibited to on-premises licensees does not usurp the power of the legislature to make law.
It is not always a usurpation of the legislative function for an administrative regulation to create liability. Many administrative *Page 925
rules carry the potential for administrative action and civil liability. In Osborne Truck Lines, Inc. v. Langston,
We disagree with Krupp's contention that Timmons, supra, is dispositive of its Krupp's argument that Regulation 20-x-6-.15(2) is unconstitutional. Timmons is distinguishable, in that the Department of Public Safety's regulation dealt with in Timmons was promulgated to cure deficiencies in a statute that was unconstitutional because of vagueness. In this case, the regulation is a rule to administer an act of the legislature, not to save it from unconstitutionality.
Second, Krupp contends that the promulgation of Regulation 20-x-6-.15(2) denied procedural due process, because, it argues, actual notice should have been given to all affected licensees. We disagree.
Due process requires that notice and an opportunity to be heard be provided before one is deprived of life, liberty, or property. Cleveland Board of Education v. Loudermill,
Krupp contends that actual notice should be required because of the potential for civil liability. First, we note that a license to sell alcoholic beverages is not a property right; it is a privilege granted by the state. Ott v. Everett,
Krupp's third contention is that Regulation
It is common knowledge that the use of intoxicants can impair mental and/or physical faculties. A person of common intelligence would understand that someone "appearing to be intoxicated" could exhibit some or all of the following: the smell of alcohol on the breath; loud or boisterous behavior; slurred speech; glassy eyes; and unsteadiness. This list is not meant to be exhaustive, but it indicates the kind of evidence that supports certain elements of criminal charges involving intoxication. See Striplin v. City of Dothan,
Since 1909, with one brief exception, it has been the law of this State that one could not sell alcohol to visibly intoxicated persons. Buchanan. It is within the State's police power to protect the public health, and regulating the sale of alcohol is a matter of public health. Buchanan. We cannot hold that this regulation, prohibiting the sale of alcohol to those appearing to be intoxicated, is overly broad, particularly considering the need to keep drunk drivers off Alabama's highways.
Krupp's last contention is that the regulation unlawfully discriminates between licensees and state-owned ABC stores. This regulation, which treats licensees differently from the way ABC stores are treated, does not involve a suspect class or a fundamental right; therefore, the regulation need only have a rational basis to withstand an Equal Protection Clause challenge. The Equal Protection Clause does not deny the State the power to treat different classes of people in different ways. However, "[t]he classification must not be unrelated to the objective of the statute and 'must be reasonable, not arbitrary, and must rest upon some ground of difference having a fair and substantial relation to the object of the legislation, so that all persons similarly circumstanced shall be treated alike.' " Tyson v. Johns-Manville Sales Corp.,
We note that a statute or regulation can survive the rational basis test if the unequal treatment is for the ease of regulation or enforcement. The ABC Board has its own internal rule forbidding employees of ABC Board stores from selling alcohol to intoxicated persons. The internal rule also provides for punishment of employees who violate this rule. Regulation 20-x-6-.15(2) was promulgated to control the sale of alcohol only by its licensees, because it is easy for the ABC Board to regulate and enforce rules regarding the sale of alcohol by its own employees. In contrast, the ABC Board must promulgate regulations applicable to its licensees in order to control the sale of alcohol by a licensee or its employees.
Based on the foregoing, we hold that ABC Board Regulation 20-x-6-.15(2) has not been shown to be unconstitutional.
AFFIRMED.
MADDOX, ALMON, SHORES, HOUSTON, INGRAM, COOK, and BUTTS, JJ., concur.
Reference
- Full Case Name
- Krupp Oil Company, Inc. v. MacK Yeargan
- Cited By
- 6 cases
- Status
- Published