R19-1-324. Standards for Exemption of an Unlicensed Business

A. The owner of a small restaurant or business establishment, business premises, or association hosting a private social function may act under A.R.S. § 4-244.05 if the owner of the small restaurant or business establishment, business premises, or association hosting a private social function: 1. Submits a Request for Exemption form, which is available from the Department and on its web site; 2. Pays the inspection fee specified in R19-1-102(J); and 3. Ensures that: a. Possession or consumption of spirituous liquor on the business premises is permitted only as an incidental convenience to customers; b. Possession or consumption of spirituous liquor on the business premises is limited as follows: i. Small restaurant: between noon and 10:00 p.m.; and ii. Business establishment, business premises, or association hosting a private social function: between 4:00 p.m. and 2:00 a.m. c. A customer is allowed to possess or consume no more than: i. Forty ounces of beer, ii. Seven hundred fifty milliliters of wine, or iii. Four ounces of distilled spirits; d. The occupancy limitation of the small restaurant or business establishment, business premises, or association hosting a private social function does not exceed the following maximum: i. Small restaurant: 50; and ii. Business establishment, business premises, or association hosting a private social function: 300; and e. The owner, manager, comptroller, controlling person, and any employee of the small restaurant or business establishment, business premises, or association hosting a private social function complies with all applicable provisions of A.R.S. Title 4 and this Chapter. B. As provided under A.R.S. § 4-244.05 (J)(4), the Director, agent of the Director, or peace officer empowered to enforce A.R.S. Title 4 and this Chapter may visit and inspect a small restaurant, business establishment, business premises, or association operating under A.R.S. § 4-244.05 and this Section during business hours of the premises. C. This Section is authorized by A.R.S. § 4-244.05.