Subchapter B. EMPLOYEES OF LICENSEES

§ 5.11. General requirement.

 Under section 207(i) of the Liquor Code (47 P. S. §  2-207(i)), the Board provides for the appointment of managers in the operation of licensed premises, subject to § §  5.16—5.18 (relating to appointment of managers; distributor or importing distributor licensees; appointment of manager; and licensees not exempt from penalties).

 Reference is directed to section 493(13) of the Liquor Code (47 P. S. §  4-493(13)), which details the requirements for the employment of minors by retail licensees.

   The provisions of this §  5.12 adopted June 26, 1952; amended through March 17, 1972, 2 Pa.B. 457; amended July 8, 1977, effective July 9, 1977, 7 Pa.B. 1889. Immediately preceding text appears at serial page (19145).

 Reference is directed to section 493(27) of the Liquor Code (47 P. S. §  4-493(27)), which details the employment of minors by certain licensees other than retail.

   The provisions of this §  5.13 adopted June 26, 1952; amended through March 17, 1972, 2 Pa.B. 457; amended July 8, 1977, effective July 9, 1977, 7 Pa.B. 1889. Immediately preceding text appears at serial page (19145).

 Under the Child Labor Law (43 P. S. §  41), a minor who is 17 years of age who is a high school graduate or who is declared to have attained his academic potential by the chief administrator of the school district within which he resides shall be deemed to be a minor of 18 years of age for the purposes of this subchapter. It shall be the duty of the employer to have in his possession on the licensed premises, and to produce on demand, a certified copy of a diploma or certificate of graduation of the 17-year-old minor, or a letter on the official stationery of the school district and over the signature of the chief administrator of the school district in which the minor resides, declaring that the 17 year old minor has attained his academic potential.

   The provisions of this §  5.14 adopted June 26, 1952; amended through March 17, 1972, 2 Pa.B. 457.

   The provisions of this §  5.16 adopted January 31, 1975, effective February 1, 1975, 5 Pa.B. 193; amended June 18, 1982, effective July 1, 1982, 12 Pa.B. 1860; amended March 12, 1993, effective March 13, 1993, 23 Pa.B. 1145; amended August 29, 1997, effective August 30, 1997, 27 Pa.B. 4432; amended January 19, 2001, effective January 20, 2001, 31 Pa.B. 430; reserved May 16, 2008, effective May 17, 2008, 38 Pa.B. 2250. Immediately preceding text appears at serial pages (307788) and (308167).

   Full Time

   A designated manager and licensee who returned to his full-time job with a school district, violated this section which requires the designated manager of a Board-Licensed establishment devote full time to the licensed premises and that he cannot have any other employment while managing the licensed premises without the approval of the Board. Liquor Control Board v. Mignogna, 548 A.2d 689 (Pa. Cmwlth. 1988).

 In accordance with section 492(12) of the Liquor Code (47 P. S. §  4-492(12)), no individual holding a distributor or importing distributor license is permitted to be employed or engaged in another business on or off the licensed premises without Board approval. If the license is issued in the name of a partnership, one of the partners shall be designated as manager and the Board may permit the other partner to have outside employment. However, the partnership shall first secure written permission from the Board before any of its members may be employed in an occupation or enterprise other than the licensed business.

   The provisions of this §  5.17 adopted January 31, 1975, effective February 1, 1975, 5 Pa.B. 193.

 Appointment of a manager may not exempt the licensee from the penalties provided by law and Board regulations for violations committed in the licensed establishment or in the course of the licensed business.

   The provisions of this §  5.18 adopted January 31, 1975, effective February 1, 1975, 5 Pa.B. 193.

   This section cited in 40 Pa. Code §  5.11 (relating to general requirement).

EMPLOYMENT OF OTHERS

§ 5.21. Prohibited employment.

 A retail licensee may not employ in his licensed establishment a person who is precluded by section 493(14) of the Liquor Code (47 P. S. §  4-493(14)) from frequenting the establishment, except minors employed in accordance with § §  5.12—5.14 (relating to employment of minors by retail licensees; employment of minors 18 to 21 years of age by licensees other than retail; and employment of minors 17 years of age as 18 years of age).

   The provisions of this §  5.21 adopted June 26, 1952; amended through March 17, 1972, 2 Pa.B. 457; amended November 12, 2004, effective November 13, 2004, 34 Pa.B. 6139. Immediately preceding text appears at serial page (274490).

   Employment of Criminal

 (a)  A license to manufacture, transport or sell liquor, malt or brewed beverages and alcohol, is a personal privilege to be exercised only by the individual to whom the license is issued. The operation of a licensed business generally requires the full-time attention of the licensee.

 (b)  An individual holding a Distributor or Importing Distributor License may not be employed in other work, or, as provided in section 492(12) of the Liquor Code (47 P. S. §  4-492(12)), engage in another business, on or off the licensed premises, without Board approval. If the license is issued in the name of a partnership, the Board may permit the partners, except one, to have outside employment. The partnership shall first secure written permission from the Board before its members may be employed in an occupation or enterprise other than the licensed business.

 (a)  The operation of a licensed business requires a manager. A licensee shall appoint an individual as manager for each licensed establishment. The manager shall devote full time and attention to the licensed business.

 (b)  An individual licensee holding multiple licenses may designate himself as manager of only one licensed establishment. If a license is held by more than one individual, the manager may be one of the individuals or another person the licensee may designate.

 (c)  The manager appointed by a licensee shall be a reputable person. The licensee shall notify the Board in writing of the name and home address of the manager and the date and place of birth. If there is a change of manager, the licensee shall give the Board written notice within 15 days of the change together with full information for the new individual who is appointed as manager. Each notice of the appointment of a manager or notice of a change of manager shall be accompanied by the appropriate fee.

 (d)  When a background investigation is conducted to obtain or verify information regarding an individual appointed as manager, a total fee of $135 will be assessed. An individual may not act in the capacity of manager after the licensee has been notified that the individual has been disapproved by the Board. The designated manager shall devote full time to the licensed business and may not be employed or engaged in another business unless prior written approval is obtained from the Board. If the designated manager is currently a Board-approved officer, member, partner or shareholder of that licensee, a fee of $60 will be assessed.

 (e)  Appointment or approval, or both, by the Board of a manager will not exempt the licensee from the penalties provided by law and this title for violations committed in the licensed establishment or in the course of the operation of the licensed business.

 (f)  The Board may rescind the approval of an appointment of a manager at any time for any cause which it deems sufficient.

 (g)  In the event of the illness or extended vacation of a licensee, the Board may approve the appointment of a manager for a period not to exceed 30 days. In case of emergency, the approval may be extended upon written request of the licensee.

 (h)  The licensee, without Board approval, may designate one of its employees as the person in charge of the business for a period of time not to exceed 15 calendar days, when the manager is absent from the licensed premises.

 (i)  A club manager or steward may engage in employment outside his duties as manager or steward except as provided in section 493(11) of the Liquor Code (47 P. S. §  4-493(11)).

 (j)  If approved by the Board, management contracts may permit the manager for the licensed premises to be employed by the management company; however, licensee shall have unfettered discretion in all aspects of management of the licensed business, including the employment of the manager and sales of food, alcoholic and nonalcoholic beverages. Licensee’s discretion includes control of the manager’s hiring, firing, discipline, salary and duties. The manager is an agent of the licensee.

   The provisions of this §  5.23 amended under section 207(i) of the Liquor Code (47 P. S. §  2-207(i)).

   The provisions of this §  5.23 adopted June 26, 1952; amended through March 17, 1972, 2 Pa.B. 457; amended June 18, 1982, effective July 1, 1982, 12 Pa.B. 1860; amended August 29, 1997, effective August 30, 1997, 27 Pa.B. 4432; amended November 12, 2004, effective November 13, 2004, 34 Pa.B. 6139; amended May 16, 2008, effective May 17, 2008, 38 Pa.B. 2250. Immediately preceding text appears at serial pages (308168) to (308170).

   It is not an abuse of the discretion of the Board to deny an application to appoint a new manager, when the proposed new manager had been arrested nine times for misdemeanors in a six-year period and had been convicted twice. In re Irene’s Cafe, Inc., 404 A.2d 707 (Pa. Cmwlth. 1979).

   Manager

   Where ‘‘friends’’ were given the authority and the responsibility to oversee and direct operations at the licensed premises, they were acting as its ‘‘managers.’’ In re Moeroe Corp., 64 Pa. D. & C.2d 499 (1974).

   This section cited in 40 Pa. Code §  3.35 (relating to persons from whom a criminal history record information check and fingerprints are required); and 40 Pa. Code §  23.1 (relating to definitions).