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Liquor License

Term and Meaning of the Serving License

Die Serving License is an official authorization or permit to serve alcoholic beverages for consumption on the premises. It is a central element of German hospitality law and is of utmost legal relevance in connection with the commercial operation of a bar or restaurant. The serving license serves, in particular, to protect the public from the dangers that can arise from the serving of alcohol, as well as to ensure regulatory and health minimum standards.

Legal Basis of the Serving License

Historical Development

The serving license has its origins in the Middle Ages, when rulers granted the privilege to serve beer. Over the course of history, the requirements for obtaining such permits were expanded and given more precise legal definitions — in Germany most recently with the Restaurant Act (GastG), which came into effect in 1970. Through federalism reforms, hospitality law became part of the concurrent legislative powers, allowing Germany’s federal states to enact their own regulations.

Statutory Regulations

Restaurant Act (GastG, Federal Law)

The federal law that remains authoritative today is the Restaurant Act (GastG). According to Section 2 of the GastG, a permit—referred to as a serving license—is required for the commercial serving of alcoholic beverages.

State-Specific Peculiarities

Due to federal responsibilities, some states have modernized hospitality law or replaced it with their own state laws (e.g., Berlin, Brandenburg, Bremen, Hesse, Lower Saxony, Rhineland-Palatinate, Saxony, Saxony-Anhalt, Schleswig-Holstein, Thuringia). However, the essential provisions regarding the serving license remain in effect.

Requirements for Granting a Serving License

Personal Suitability

The license can only be granted if the applicant possesses the necessary reliability. This reliability is assessed, in particular, with regard to any criminal convictions, insolvency proceedings, or violations of commercial or food law.

Material and Spatial Requirements

The condition of the business premises must meet minimum requirements with regard to building and hygiene law. These particularly include requirements for sanitary facilities, fire protection, and the separation of guest and business areas.

Proof of Instruction

In many federal states, proof must be provided that the applicant has the necessary basic knowledge of food law. This is usually accomplished by participating in a training session offered by the Chamber of Industry and Commerce (Section 4 paragraph 1 sentence 1 number 4 GastG).

Business Notification

Prior to commencing business operations, a notification of business activity must be submitted to the relevant authority (Section 14 GewO), in addition to obtaining the permit under the Restaurant Act.

Procedure for Granting a Serving License

Application

The serving license must be applied for at the competent administrative authority (usually the regulatory or trade office). The application must be accompanied by proof of reliability, evidence of ownership of the premises, floor plans, and, if applicable, lease or rental agreements, and a certificate of food law instruction.

Review Procedure

The authority examines whether all legal and factual requirements are met. If necessary, it obtains statements from other specialized authorities (health department, building authority, police).

Authorization and Conditions

The serving license may be issued for a limited or unlimited period and is often subject to additional requirements, such as provisions for the protection of minors, opening hours, or noise protection (Section 5 GastG).

Temporary Permit (Gestattung)

For events of special occasion, such as club festivals or markets, a temporary serving license (permit under Section 12 GastG) can be issued upon application.

Legal Consequences of the Serving License

Rights of the Holder

The serving license authorizes the holder to commercially serve and sell alcoholic beverages. The scope, for example, may be limited by the authority to certain rooms or assortments (e.g., beer-dispensing license).

Duties and Supervisory Rights

The holder is subject to comprehensive monitoring and due diligence obligations, such as compliance with the Youth Protection Act, prevention of disturbance of the peace, hygiene regulations, notification of events, and information and cooperation obligations during official inspections.

Expiration and Revocation

The serving license may be revoked or withdrawn under certain circumstances, for example, if reliability is lost after issuance or in case of serious violations of applicable regulations. It automatically expires upon cessation of business or upon business transfer.

Serving License in Contrast to Other Permits

Distinction from the Itinerant Trade Card

In contrast to the serving license under the Restaurant Act, the Itinerant Trade Card authorizes commercial sales without a fixed place of business, but it also requires separate permission when serving alcoholic beverages.

Distinction Between Granted Permit and Permit-Free Restaurant Activities

The serving license exclusively applies to the serving of alcoholic beverages. The mere operation of a restaurant without serving alcohol (permit-free) does not require a restaurant license within the meaning of the Restaurant Act.

Sanctions for Violations

Anyone operating without the required serving license or violating relevant conditions faces fines, prohibition of business, or even criminal consequences. Enforcement is handled by the regulatory authorities.

Literature and Further References

  • Text of the Restaurant Act (GastG)
  • State-Specific Hospitality Laws
  • Trade Regulation (GewO)
  • Youth Protection Act (JuSchG)

Conclusion: The serving license is a central instrument of public regulatory law in the hospitality sector and ensures the responsible handling of the dispensing of alcoholic beverages. Its issuance is bound to strict personal, material, and procedural requirements. Compliance with the associated conditions is essential for the operational safety of a restaurant.

Frequently Asked Questions

What requirements must be met to obtain a serving license?

To obtain a serving license (permit under Section 12 Restaurant Act, or GastG for short), various legal prerequisites must be proven. First, the reliability of the applicant must be demonstrated. For this, the competent authority usually requires a certificate of good conduct, an extract from the central trade register, and a certificate of tax compliance. Furthermore, proof of instruction regarding food law regulations, particularly pursuant to the Infection Protection Act and the Food Hygiene Regulation, must be provided. Another prerequisite is that there are no facts justifying the assumption that the serving of alcohol could endanger public safety or order. Often, building law requirements must also be met, such as suitable premises with respect to escape and rescue routes, soundproofing, and sanitary facilities. The serving license may additionally be limited in content, time, or space and may be subject to conditions. The application must be submitted in writing to the competent authority at least four weeks before the start of serving.

When is a serving license required and for which events does it apply?

According to German law, a serving license is always required when alcoholic beverages are served temporarily to the public on special occasions and no regular restaurant license exists. It mainly applies to temporary events such as street festivals, club celebrations, Christmas markets, city festivals, or similar events where the organizer does not otherwise have a hospitality permit. For strictly private events, such as birthday parties limited to close friends and family, no serving license is necessary, as long as the general public does not have access. The decisive factor is whether the event is open to a changing group of people. The serving of alcoholic beverages within the scope of a business activity or as part of regular gastronomic services always requires a restaurant license under Section 2 GastG. The serving license is always limited to a specific occasion, duration, and—if applied for—specific premises.

How long is a serving license valid?

The serving license is always purpose-bound and has a precisely limited duration. It is valid exclusively for the period and the event for which it was applied for and granted. Validity automatically ends with the expiration of the period specified in the application or with the last day of the event. Extension is possible only via a new application. There is no such thing as a “permanent” serving license; it is generally not a substitute for the classic restaurant license. If several events are held on different days, a separate permit must be applied for each event.

Which documents must be attached to the serving license application?

The following documents usually must be attached to an application for a serving license: a fully completed and signed application form, a current certificate of good conduct, an extract from the central trade register, a tax clearance certificate from the relevant tax office, proof of instruction pursuant to Section 4 of the Infection Protection Act, and, if applicable, evidence of compliance with building requirements (e.g., site plan, approval of premises). A written declaration of consent from the owner or landlord of the premises may also be required. Depending on the municipality or city, additional documents may be requested (such as proof of a youth protection concept or a security plan).

What obligations arise for the holder of a serving license?

Holders of a serving license are required during the event to comply with the statutory provisions stipulated in the Restaurant Act, youth protection regulations, and tax requirements. This particularly includes the prohibition on serving alcohol to minors (Section 9 JuSchG), ensuring compliance with occupational health standards, adherence to any conditions imposed for the event, and compliance with local regulations on rest periods and noise protection imposed by the local regulatory authority. If food is prepared or sold during the event, food safety hygiene regulations also apply. Violations of conditions or statutory regulations may result in immediate revocation of the serving license and administrative as well as criminal consequences.

Can a granted serving license be revoked and for what reasons?

An already granted serving license can be revoked by the competent authority at any time or supplemented with additional requirements if facts become known afterward which would have justified refusal. This is the case, for example, if the holder of the license is found to be unreliable, repeatedly violates applicable regulations (especially youth protection or noise control), or if the event poses a risk to public safety and order. Revocation is also possible in the event of incorrect information in the application process or if the scope described in the application is exceeded. In particularly serious cases, criminal investigations may also be initiated.

What costs are associated with a serving license?

Administrative fees are charged by the competent authorities for processing a serving license application. The amount of the fee varies from state to state and is often based on administrative effort, the duration and size of the event, and any additional inspections required (e.g., building inspections). Generally, fees are in the double-digit to low triple-digit range. If special conditions or follow-up applications are required, additional costs may arise. The fee is usually payable in advance upon application; otherwise, the application will not be processed.