Administrative law judge sides with nightclub operator who lawfully acquired an alcoholic beverage license prior to a sheriff’s seizure and levy on the license issued against its previous owner

Attorneys Louis J. Terminello and Joshua Remedios, of Greenspoon Marder, have successfully blocked the transfer of an alcoholic beverage license in a dispute before the State of Florida Division of Administrative Hearings titled RJR Charitable Holdings, LLC v. Department of Business and Professional Regulation, Division of Alcoholic Beverages and Tobacco and Party Latino Corp. The judge denied the petitioner’s request to approve the transfer of the license after the petitioner purportedly purchased it at a sheriff’s sale.

Terminello and Remedios represented the intervenor in the matter, Party Latino Corp. In February 2014, Party Latino purchased all of the assets of La Cidra Corporation, operator of Miami nightclub L’Boulevard Café Supper Club. La Cidra had ceased operation of the club following a $3.4 million default judgment against the company in a battery case brought by Steven Beltre. As part of the asset sale, Party Latino applied to the Division of Alcoholic Beverages and Tobacco for an ownership transfer of the liquor license. A temporary license was issued.

Five days after the sale closed, the Eleventh Judicial Circuit Court imposed a levy on La Cidra to satisfy the $3.4 million judgment. The Miami-Dade County Sheriff’s Office seized the property and all of its contents on March 8, 2014, and held an auction on April 30, 2014. RJR Charitable Holdings, LLC, purchased the property (including the liquor license) at auction for $140.00 and subsequently filed for a transfer of the liquor license. The Department of Alcoholic Beverages and Tobacco denied RJR’s transfer request.

RJR subsequently petitioned for a formal hearing to approve the license transfer, and Party Latino filed a motion to intervene in January 2016.

In his ruling on May 31, 2016, Administrative Law Judge Robert E. Meale denied RJR’s petition for a statutory transfer of the license. He found that Beltre had not properly filed a judgment lien certificate with the Florida Department of State and therefore, the Beltre judgment is not enforceable and Party Latino retains possession of the liquor license.

Shareholder Louis J. Terminello is co-chair of Greenspoon Marder’s Alcohol Beverage Group. He has more than 35 years of experience in the alcohol beverage and tobacco industry as a regulator, industry attorney and industry member.

Joshua Remedios is an associate in the firm’s Alcohol Beverage Group. He has assisted with the representation of nightclubs, bars, restaurants, hotels, performing arts centers, non-profit organizations and other entertainment venues.

About Greenspoon Marder

Greenspoon Marder is committed to providing excellent client service through our cross-disciplinary, client-team approach. Our goal is to understand the challenges that our clients face, build collaborative relationships, and craft creative solutions designed and executed with long-term strategic goals in mind. Since our inception in 1981, Greenspoon Marder has become a full-service, Am Law 200 law firm with more than 180 attorneys. We serve Fortune 500, middle-market public and private companies, start-ups, emerging businesses, individuals and entrepreneurs across Florida and the United States. For more information, visit www.gmlaw.com.