Texas Senate Bill SB1391

Texas 2017 - 85th Regular

Caption

Relating to penalties imposed on a holder of an alcoholic beverage license or permit on the basis of a criminal prosecution.

Impact

The bill's implementation is expected to provide clearer protections for permit holders, ensuring that they are not unfairly penalized based on criminal proceedings that did not result in a guilty verdict. This change aims to safeguard the rights of licensees and foster a more fair regulatory environment within the alcoholic beverage industry in Texas, potentially encouraging entrepreneurship and reducing litigation surrounding civil penalties.

Summary

SB1391 addresses the imposition of civil penalties on holders of alcoholic beverage licenses or permits in Texas. The bill specifically amends Section 11.641(c) of the Alcoholic Beverage Code, stating that a civil penalty cannot be imposed based solely on a criminal prosecution where the defendant was found not guilty, the charges were dismissed, or there has been no final adjudication, except in cases involving public safety offenses such as drugs or sales to intoxicated persons.

Contention

Notable points of contention pertain to the balance between regulation and protection for permit holders versus maintaining public safety. Critics may argue that the amendments could create loopholes where public safety could be compromised if civil penalties are limited under the circumstances laid out in the bill. Supporters, however, emphasize the need to prevent unjust penalties on businesses in cases where the legal system has not found them guilty, thereby protecting their livelihoods and investments.