Licence Appeal Tribunal
Tribunal File Number: 12097/LLA
Appeal of a Notice of Proposal to refuse to transfer a licence pursuant to section 21(4) of the Liquor Licence Act, R.S.O. 1990, c.L.19
Between:
2625593 Ontario Ltd. o/a Bonita Restaurant
Appellant
and
Registrar under the Alcohol, Cannabis and Gaming Regulation and Public Protection Act, 1996
Respondent
MOTION DECISION
ADJUDICATOR: Harriet Lewis
APPEARANCES:
For the Appellant: Larissa Chappell, Appellant Jorden Kolman, Agent
For the Respondent: Tamara Brooks, Counsel Danielle Bastarache, Counsel
HEARD: In Writing September 6, 2019
REASONS FOR DECISION
OVERVIEW
1This is a motion by 625593 Ontario Ltd. o/a Bonita Restaurant (Bonita), asking the Tribunal to hear an appeal of a proposal to deny the transfer of a liquor licence to Bonita, notwithstanding that the licence has been revoked and the proposal has been withdrawn. The appeal was brought pursuant to s. 21(4) OF THE Liquor Licence Act, R.S.O. 1990, c.L.19 (the “Act”).
2Bonita owns the establishment known as Bonita Restaurant in the City of Toronto. Larissa Chappell (“Chappell’) is the owner of Bonita and its sole shareholder, officer, and director.
3In May of 2018 Chappell applied to the Respondent for a transfer of licence # 21859 (“the Bonita Licence”) from the then licence holder, a company owned or controlled by Malcolm Wilson, (“Wilson”).
4On July 31, 2018, the Registrar granted an application to “contract out” the Bonita Licence pursuant to s. 15 of Ontario Regulation 719, (the “Regulation”). This enabled Chappell to operate the Bonita business pending an approval of the transfer of the liquor licence to Bonita.
5On April 17, 2019, following an investigation by the Ontario Provincial Police, the Registrar issued a Notice of Proposal #501383 (“Proposal #1”), to refuse to transfer the Bonita licence. The Registrar states that the transfer was denied because there were reasonable grounds for belief that Chappell would not conduct business with honesty and integrity. On the same date, the Registrar also issued a Notice of Proposal #545124 (“Proposal #2”) to revoke the Bonita Licence, which was still held by Wilson.
6Proposal #1 to deny the transfer was issued to both Chappell and Wilson and was personally served on Chappell on May 2, 2019.
7Proposal #2 to revoke the licence was served on Wilson but not served on Chappell. The Registrar takes the position that the legislation required service of Proposal #2 only on the licence holder, and not on Bonita or Chappell.
8On May 15, 2019, Chappell filed a Notice of Appeal of Proposal #1. The appeal was filed within the statutory period for filing an appeal.
9Wilson did not file an appeal of Proposal #2. Consequently, on May 21, 2019, the Registrar revoked the Bonita Licence.
10On May 22, 2019, the Registrar withdrew Proposal #1.
11Although there is no longer an outstanding Proposal #1, nor an existing Bonita Licence, Chappell is asking the Tribunal to proceed with her appeal of Proposal #1
12Chappell takes the position that the actions of the Registrar in depriving her of an appeal to this Tribunal, violate the standards of natural justice.
13The Respondent takes the position that as there is no existing licence and Proposal #1 was withdrawn by the Registrar, the Tribunal does not have the statutory jurisdiction to proceed with an appeal and argues that the appropriate action for Chappell to now take is to make a fresh application for a licence. The Respondent further submits that the appropriate place to challenge the Registrar’s authority and actions with respect to the Bonita Licence is to the Divisional Court and not to this Tribunal.
ISSUES
14The issue in this hearing is:
Does the Tribunal have jurisdiction to hear the Appeal of a Notice of Proposal denying a transfer