Printable Format41-311. Persons and entities ineligible for licensure. (a) No license of any kind shall be issued pursuant to the liquor control act to a person:
(1) Who is not a citizen of the United States;
(2) who has been convicted of a felony under the laws of this state, any other state or the United States;
(3) who has had a license revoked for cause under the provisions of the liquor control act, the beer and cereal malt beverage keg registration act or who has had any license issued under the cereal malt beverage laws of any state revoked for cause except that a license may be issued to a person whose license was revoked for the conviction of a misdemeanor at any time after the lapse of 10 years following the date of the revocation;
(4) who has been convicted of being the keeper or is keeping any property, whether real or personal, where sexual relations are being sold or offered for sale by a person who is 18 years of age or older or has forfeited bond to appear in court to answer charges of being a keeper of any property, whether real or personal, where sexual relations are being sold or offered for sale by a person who is 18 years of age or older;
(5) who has been convicted of being a proprietor of a gambling house, pandering or any other crime opposed to decency and morality or has forfeited bond to appear in court to answer charges for any of those crimes;
(6) who is not at least 21 years of age;
(7) who, other than as a member of the governing body of a city or county, appoints or supervises any law enforcement officer, who is a law enforcement official or who is an employee of the director;
(8) who intends to carry on the business authorized by the license as agent of another;
(9) who at the time of application for renewal of any license issued under this act would not be eligible for the license upon a first application, except as provided by subsection (a)(12);
(10) who is the holder of a valid and existing license issued under article 27 of chapter 41 of the Kansas Statutes Annotated, and amendments thereto, unless the person agrees to and does surrender the license to the officer issuing the same upon the issuance to the person of a license under this act, except such person may be issued a farm winery license pursuant to K.S.A. 41-316, and amendments thereto, or a producer license pursuant to K.S.A. 41-355, and amendments thereto, and a retailer licensed pursuant to K.S.A. 41-2702, and amendments thereto, shall be eligible to receive a retailer's license under the Kansas liquor control act;
(11) who does not own the premises for which a license is sought, or does not, at the time of application, have a written lease thereon;
(12) whose spouse would be ineligible to receive a license under this act for any reason other than citizenship requirements or age, except that this paragraph shall not apply in determining eligibility for a renewal license or to a person whose spouse is a law enforcement officer;
(13) whose spouse has been convicted of a felony or other crime that would disqualify a person from licensure under this section and such felony or other crime was committed during the time that the spouse held a license under this act;
(14) who does not provide any data or information required by K.S.A. 41-311b, and amendments thereto; or
(15) who, after a hearing before the director, has been found to have held an undisclosed beneficial interest in any license issued pursuant to the liquor control act that was obtained by means of fraud or any false statement made on the application for such license.
(b) No retailer's license shall be issued to:
(1) A person who has a beneficial interest in a manufacturer, distributor, farm winery or microbrewery licensed under this act, except that the spouse of an applicant for a retailer's license may own and hold a farm winery license, microbrewery license, or both, if the spouse does not hold a retailer's license issued under this act;
(2) a person who has a beneficial interest in any other retail establishment licensed under this act, except that the spouse of a licensee may own and hold a retailer's license for another retail establishment;
(3) a copartnership, unless all of the copartners are qualified to obtain a license;
(4) a corporation; or
(5) a trust, if any grantor, beneficiary or trustee would be ineligible to receive a license under this act for any reason, except that the provisions of subsection (a)(6) shall not apply in determining whether a beneficiary would be eligible for a license.
(c) No manufacturer's license shall be issued to:
(1) A corporation, if any officer or director thereof, or any stockholder owning in the aggregate more than 25% of the stock of the corporation would be ineligible to receive a manufacturer's license for any reason other than citizenship requirements;
(2) a copartnership, unless all of the copartners would be individually eligible to receive a manufacturer's license under this act;
(3) a trust, if any grantor, beneficiary or trustee would be ineligible to receive a license under this act for any reason, except that the provisions of subsection (a)(6) shall not apply in determining whether a beneficiary would be eligible for a license; or
(4) a person who has a beneficial interest in a distributor, retailer, farm winery or microbrewery licensed under this act, except as provided in K.S.A. 41-305, and amendments thereto.
(d) No distributor's license shall be issued to:
(1) A corporation, if any officer, director or stockholder of the corporation would be ineligible to receive a distributor's license for any reason. It shall be unlawful for any stockholder of a corporation licensed as a distributor to transfer any stock in the corporation to any person who would be ineligible to receive a distributor's license for any reason, and any such transfer shall be null and void, except that: (A) If any stockholder owning stock in the corporation dies and an heir or devisee to whom stock of the corporation descends by descent and distribution or by will is ineligible to receive a distributor's license, the legal representatives of the deceased stockholder's estate and the ineligible heir or devisee shall have 14 months from the date of the death of the stockholder within which to sell the stock to a person eligible to receive a distributor's license, any such sale by a legal representative to be made in accordance with the provisions of the probate code; or (B) if the stock in any such corporation is the subject of any trust and any trustee or beneficiary of the trust who is 21 years of age or older is ineligible to receive a distributor's license, the trustee, within 14 months after the effective date of the trust, shall sell the stock to a person eligible to receive a distributor's license and hold and disburse the proceeds in accordance with the terms of the trust. If any legal representatives, heirs, devisees or trustees fail, refuse or neglect to sell any stock as required by this subsection, the stock shall revert to and become the property of the corporation, and the corporation shall pay to the legal representatives, heirs, devisees or trustees the book value of the stock. During the period of 14 months prescribed by this subsection, the corporation shall not be denied a distributor's license or have its distributor's license revoked if the corporation meets all of the other requirements necessary to have a distributor's license;
(2) a copartnership, unless all of the copartners are eligible to receive a distributor's license;
(3) a trust, if any grantor, beneficiary or trustee would be ineligible to receive a license under this act for any reason, except that the provisions of subsection (a)(6) shall not apply in determining whether a beneficiary would be eligible for a license; or
(4) a person who has a beneficial interest in a manufacturer, retailer, farm winery or microbrewery licensed under this act.
(e) No nonbeverage user's license shall be issued to a corporation, if any officer, manager or director of the corporation or any stockholder owning in the aggregate more than 25% of the stock of the corporation would be ineligible to receive a nonbeverage user's license for any reason other than citizenship and residence requirements.
(f) No microbrewery license, microdistillery license or farm winery license shall be issued to a:
(1) Person who has a beneficial interest in a manufacturer or distributor licensed under this act, except as provided in K.S.A. 41-305, and amendments thereto;
(2) person, copartnership or association that has a beneficial interest in any retailer licensed under this act or under K.S.A. 41-2702, and amendments thereto, except that the spouse of an applicant for a microbrewery or farm winery license may own and hold a retailer's license if the spouse does not hold a microbrewery or farm winery license issued under this act;
(3) copartnership, unless all of the copartners are qualified to obtain a license;
(4) corporation, unless stockholders owning in the aggregate 50% or more of the stock of the corporation would be eligible to receive such license and all other stockholders would be eligible to receive such license except for reason of citizenship or residency; or
(5) a trust, if any grantor, beneficiary or trustee would be ineligible to receive a license under this act for any reason, except that the provisions of subsection (a)(6) shall not apply in determining whether a beneficiary would be eligible for a license.
(g) If the applicant is not a Kansas resident, no license shall be issued until the applicant has appointed a citizen of the United States who is a resident of Kansas as the applicant's agent and filed with the director a duly authenticated copy of a duly executed power of attorney, authorizing the agent to accept service of process from the director and the courts of this state and to exercise full authority, control and responsibility for the conduct of all business and transactions within the state relative to alcoholic liquor and the business licensed. The agent must be satisfactory to and approved by the director, except that the director shall not approve as an agent any person who:
(1) Has been convicted of a felony under the laws of this state, any other state or the United States;
(2) has had a license issued under the alcoholic liquor or cereal malt beverage laws of this or any other state revoked for cause, except that a person may be appointed as an agent if the person's license was revoked for the conviction of a misdemeanor and 10 years have lapsed since the date of the revocation;
(3) has been convicted of being the keeper or is keeping any property, whether real or personal, where sexual relations are being sold or offered for sale by a person who is 18 years of age or older or has forfeited bond to appear in court to answer charges of being a keeper of any property, whether real or personal, where sexual relations are being sold or offered for sale by a person who is 18 years of age or older;
(4) has been convicted of being a proprietor of a gambling house, pandering or any other crime opposed to decency and morality or has forfeited bond to appear in court to answer charges for any of those crimes; or
(5) is less than 21 years of age.
History: L. 1949, ch. 242, § 27; L. 1953, ch. 238, § 3; L. 1963, ch. 266, § 1; L. 1970, ch. 186, § 1; L. 1973, ch. 199, § 1; L. 1975, ch. 249, § 1; L. 1982, ch. 210, § 1; L. 1983, ch. 161, § 5; L. 1985, ch. 171, § 9; L. 1985, ch. 170, § 27; L. 1987, ch. 182, § 21; L. 1987, ch. 182, § 22; L. 1992, ch. 201, § 5; L. 1995, ch. 258, § 2; L. 1996, ch. 154, § 4; L. 2001, ch. 55, § 1; L. 2001, ch. 189, § 3; L. 2002, ch. 44, § 7; L. 2007, ch. 178, § 4; L. 2008, ch. 126, § 2; L. 2010, ch. 142, § 7; L. 2012, ch. 144, § 14; L. 2013, ch. 120, § 39; L. 2014, ch. 75, § 4; L. 2015, ch. 82, § 6; L. 2016, ch. 65, § 2; L. 2021, ch. 107, § 6; L. 2022, ch. 71, § 3; April 28.
Revisor's Note:
Section was amended twice in the 1992 session, see also 41-311a.
Law Review and Bar Journal References:
Liquor license refused because violation of municipal ordinance was violation of statute (cited in nisi prius decision), 7 K.L.R. 227 (1958).
"Liquor by the Book in Kansas: The Ghost of Temperance Past," Kevin Wendell Swain, 35 W.L.J. 322, 337 (1996).
Attorney General's Opinions:
Persons ineligible for intoxicating liquor license; conviction of crime against decency and morality. 84-118.
Sheriff; qualifications for office. 84-120.
Licensing; persons to whom licenses not issued. 85-4.
Licensing and related provisions; classes of persons to whom licenses not issued; conviction of violation of intoxicating liquor laws. 85-44.
Persons prohibited from operating maternity hospitals and homes for children; effect of expungement of prior conviction. 85-50.
Ability of a retail liquor licensee to be a Riley county commissioner. 86-99.
Cereal malt beverage licensee; violations of cereal malt beverage act as violations of intoxicating liquor laws. 87-180.
Retail liquor dealer's license; dealer's spouse prohibited from holding beneficial interest in another retail establishment; constitutionality. 94-88.
Retail liquor license; licensure of Kansas limited liability companies. 94-90.
Licensed alcoholic liquor dealer may own all or part of out-of-state manufacturer whose products are not sold or distributed in Kansas. 95-1.
City option; licensure qualifications; residency requirement for corporations seeking microbrewery license. 95-57.
Club or drinking establishment license may not be issued to person who does not own or lease premises. 2003-26.
Residency requirements for corporations seeking microbrewery license, constitutionality. 2006-12.
Residency requirement likely unconstitutional under the dormant commerce clause. 2020-11.
CASE ANNOTATIONS
1. Person with gambling record held not entitled to license. Lowe v. Herrick, 170 Kan. 34, 35, 36, 223 P.2d 745.
2. Discussed in divorce action; liquor store property held jointly acquired. Taylor v. Taylor, 174 Kan. 21, 22, 23, 25, 254 P.2d 301.
3. License obtained by fraud; injunction to abate nuisance, who may maintain action. State, ex rel., v. Hines, 178 Kan. 142, 145, 283 P.2d 472.
4. Discussed, construed; director properly refused reissuance of township retailer's license. Murphy v. Curtis, 184 Kan. 291, 294, 336 P.2d 411.
5. Liquor dealers held to have "beneficial interest" in manufacture of alcohol contrary to statute. State, ex rel., v. Kansas Retail Liquor Dealers Foundation, Inc., 192 Kan. 293, 296, 298, 387 P.2d 171.
6. Subsection 1 (c) and (n) considered; spouse convicted of driving while intoxicated; driving while intoxicated is violation of "intoxicating liquor law." Keck v. Cheney, 196 Kan. 535, 536, 537, 413 P.2d 119.
7. Restrictive employment covenant in contravention of section (dissenting opinion). Eastern Distributing Co., Inc. v. Flynn, 222 Kan. 666, 679, 567 P.2d 1371.
8. Considered and applied on appeal from license denial; director may not establish additional qualifications or restrictions. Cray v. Kennedy, 230 Kan. 663, 667, 668, 669, 670, 671, 674, 640 P.2d 1219 (1982).
9. Residency requirement of liquor control act (K.S.A. 41-101 et seq.) is an impermissible limitation on interstate commerce violating dormant commerce clause. Glazer's Wholesale Drug Co., Inc. v. Kansas, 145 F. Supp. 2d 1234, 1237 (2001).