Ralker's, Inc. v. Ohio Liquor Ctrl. Comm., Unpublished Decision (9-14-2006)
Ralker's, Inc. v. Ohio Liquor Ctrl. Comm., Unpublished Decision (9-14-2006)
Opinion of the Court
OPINION
{¶ 1} Appellant, Ohio Liquor Control Commission ("commission"), appeals from a decision of the Franklin County Court of Common Pleas reversing an order rendered by appellant on December 9, 2004 revoking a liquor permit held by appellee, Ralker's, Inc.{¶ 2} Ralker's, Inc. operates a bar known as Bartleby's located in Massillon, Ohio. Ronald Huffman, a regular patron of the establishment, died on the premises in February 2003 from what the coroner later determined to be acute ethanol poisoning. This led to a criminal investigation by the Massillon Police Department, which gathered information indicating that the death occurred after a multi-day drinking binge on the premises, including periods during which the bar was closed. The matter was eventually referred to the Stark County Prosecutor, who declined to file criminal charges.
{¶ 3} Based in part upon the information generated during the police investigation, commission agents instigated their own investigation and eventually charged a total of ten violations by the permit holder, including sale of intoxicating liquor to a person already intoxicated, serving liquor on the premises after hours, unsanitary condition of the premises, and furnishing intoxicating liquor without charge to a customer.
{¶ 4} The commission found violations in three of the charges, giving away intoxicating liquor without charge, excessive consumption, and serving liquor during mandated closing hours. No witnesses attended the commission hearing, and the commission's decision was based upon summaries of taped police interviews with witnesses, affidavits of an investigating police detective, and other affidavits. The investigating agent for the commission, Ray Robinson, stated at the hearing that he had not personally interviewed any of the witnesses or observed any of the alleged violations, but relied upon the investigative reports of police officers. The commission based upon the violations, imposed the penalty of revocation of appellee's permit.
{¶ 5} Appellee then appealed under R.C.
{¶ 6} The commission timely appeals and brings the following assignment of error:
The Franklin County Common Pleas Court erred and abused its discretion when it held that the Ohio Liquor Control Commission's Order was not in accordance with law when it found that the Department of Public Safety was without authority to cite a liquor permit holder.
{¶ 7} Initially, we note that our standard of review in this matter is well-established. In an administrative appeal under R.C.
{¶ 8} On further appeal to this court, our standard of review is more limited. Our role is limited to a determination of whether the court of common pleas abused its discretion in finding that the commission's order was or was not supported by reliable, probative, and substantial evidence. Id. The term "abuse of discretion" implies that the decision is both without a reasonable basis in fact and law and clearly wrong. Angelkovskiv. Buckeye Potato Chips Co. (1983),
{¶ 9} The standard of reliable, probative, and substantial evidence has been described as follows: "(1) Reliable evidence is dependable, that is, it can be constantly trusted, and there must be a reasonable probability that the evidence is true; (2) probative evidence is evidence that tends to prove the issue in question, it must be relevant in determining the issues; (3) substantial evidence is evidence with some weight, it must have importance in value." Our Place, Inc. v. Ohio Liquor ControlComm. (1992),
{¶ 10} In the present case, the court of common pleas determined that there was such reliable, probative, and substantial evidence before the commission to support a finding of violations and imposition of permit revocation, and appellee has not filed a cross-appeal from that determination. The sole question before us, therefore, is whether the court of common pleas, after finding that sufficient evidence existed to support the claimed violations, erred in then concluding that the commission's investigation, issuance of citations, and subsequent revocation must be vacated because the commission did not act in accordance with Ohio statutes and its own regulations governing that process.
{¶ 11} The court of common pleas in the present case held that the commission's order was not lawful because it did not comply with R.C.
(3) Enforcement agents who are on, immediately adjacent to, or across from retail liquor permit premises and who are performing investigative duties relating to that premises, enforcement agents who are on premises that are not liquor permit premises but on which a violation of Title XLIII of the Revised Code or any rule adopted under it allegedly is occurring, and enforcement agents who view a suspected violation of Title XLIII of the Revised Code, of a rule adopted under it, or of another law or rule described in division (B)(1) of this section have the authority to enforce the laws and rules described in division (B)(1) of this section, authority to enforce any section in Title XXIX of the Revised Code or any other section of the Revised Code listed in section
{¶ 12} Ohio Adm. Code
4301:1-1-61 Violation-identification and notification
(A) When a compliance officer or enforcement agent of the division of liquor control or department of public safety witnesses a violation of a provision of the liquor control statutes or a rule of the liquor control commission, the compliance officer or enforcement agent shall, upon completion of the investigation, identify themselves by presentation of their credentials to the permit holder or the permit holder's agent or employee, and notify the permit holder or the permit holder's agent or employee of the violation, in writing, on the forms prescribed and provided by the division of liquor control or department of public safety.
* * *
(B) The provisions of paragraph (A) herein shall not be applicable to investigations conducted at the express order of the superintendent of the division of liquor control or the director of the department of public safety.
(C) When a request for citation is made to the division of liquor control or department of public safety by a law enforcement agency, such request must be submitted in writing within thirty days of the date of the alleged violation except where an arrest has been made in connection with the alleged violation.
{¶ 13} Insofar as they relate to the facts of the present case, these provisions, read together, provide three possible avenues for issuance of citations and subsequent action thereon by the commission: First-hand observation by an enforcement agent of the Department of Liquor Control on or about the premises of the permit holder of a violation; violations, although not witnessed first-hand, but pursued pursuant to an investigation undertaken at the express direction of the Superintendent of the Department of Liquor Control, or the Director of the Department of Public Safety; or a request for a citation made in writing within 30 days by a law enforcement agency. Appellant does not dispute in the present case that liquor control agents did not personally witness the violations, that no investigation of appellee was undertaken at the express order of the Superintendent of the Department of Liquor Control or the Director of the Department of Public Safety, and that Massillon police did not request an investigation within 30 days of the alleged violations. Appellant argues, however, that the absence of these factors is not fatal to prosecution of the violations in this case, first because the 30-day limitation of Rule 61 is only directive and not mandatory, and second, because the commission has authority under other statutory provisions to revoke a permit without the restrictions set forth in R.C.
{¶ 14} The commission asserts that the requirements of Rule 61 in this case were "substantially complied with" despite the absence in the record of any evidence that a written request was forwarded by the Massillon Police Department to the Division of Liquor Control. The commission relies upon the affidavit of the investigating detective with the Massillon Police Department indicating his recollection and belief that the police department desired to have the Division of Liquor Control issue citations. The commis-sion points to the following language in In ReRaymundo (1990),
{¶ 15} Turning to the question of whether the restrictions found in R.C.
R.C.
The liquor control commission may revoke or cancel any permit on its own initiative or on complaint of the division of liquor control or of any person, after a hearing at which the holder shall be given an opportunity to be heard in such manner and upon such notice as prescribed by the rules of the commission.
R.C.
(A) The liquor control commission may suspend or revoke any permit issued under this chapter or Chapter 4303, of the Revised Code for the violation of any of the applicable restrictions of either chapter or of any lawful rule of the commission, for other sufficient cause, and for the following causes:
(1) Conviction of the holder or the holder's agent or employee for violating division (B) of section
(2) The entry of a judgment pursuant to division (D) or (E) of section
(3) Making any false material statement in an application for a permit;
(4) Assigning, transferring, or pledging a permit contrary to the rules of the commission;
(5) Selling or promising to sell beer or intoxicating liquor to a wholesale or retail dealer who is not the holder of a proper permit at the time of the sale or promise;
(6) Failure of the holder of a permit to pay an excise tax together with any penalties imposed by the law relating to that failure and for violation of any rule of the department of taxation in pursuance of the tax and penalties.
{¶ 16} The commission argues that these provisions may provide an independent ground for revocation or cancellation of a permit without recourse to any of the procedures outlined in R.C.
{¶ 17} Accordingly, appellant's sole assignment of error is overruled and the judgment of the Franklin County Court of Common Pleas vacating the order of the commission is affirmed.
Judgment affirmed.
BRYANT and PETREE, JJ., concur.
Reference
- Full Case Name
- Ralker's, Inc., Appellant-Appellee v. Ohio Liquor Control Commission, Appellee-Appellant.
- Cited By
- 3 cases
- Status
- Unpublished