(A) Before the Town Council revokes a license issued pursuant to this chapter, or if the Town Council determines reasonable grounds exist to deny an application for a license pursuant to this chapter, the Town Council shall cause a written notice to be sent by certified mail to the licensee or applicant affected, at the address stated in the license or application. The notice shall advise the affected party of a right to appear before the Town Council, with or without legal counsel, at a stated time and place for the purpose of presenting any evidence relevant to the revocation or denial and for the purpose of hearing all evidence submitted and examining or cross-examining any person providing the evidence.
(B) A license issued pursuant to this section may be revoked by action of the Town Council if the Town Council determines that:
(1) The licensee has violated any provision of this chapter;
(2) The licensee, or the legal or beneficial owner of any interest in the licensee, is convicted of any felony; prostitution or any violation of any law relative to prostitution; crime involving sexual misconduct; as codified in the laws of the United States, this or any other state, including but not limited to convictions of violations of any crime of moral turpitude, any offense under G.S. Chapter 90, or the same offenses as codified in the laws of the United States or any other state;
(3) Any employee or contract personnel of the licensee is convicted of any felony; prostitution or any violation of any law relative to prostitution; crime involving sexual misconduct; or any offense against public morality and decency as codified in the laws of the United States, this or any other state, including but not limited to convictions of violations of any of the offenses enumerated in G.S. §§ 14-27.20, any crime of moral turpitude, any offense under G.S. Chapter 90, or the same offenses as codified in the laws of the United States or any other state, which arises out of or in the course of the business of the licensee;
(4) The licensee has knowingly, willingly or intentionally operated a sexually oriented business during a period of time when the licensee’s license was suspended for any reason;
(5) The licensee has knowingly, willingly or intentionally allowed prostitution on the premises; or
(6) The licensee has knowingly, willingly or intentionally violated state ABC laws, being G.S. Chapter 18B.
(C) A license issued pursuant to this chapter is immediately terminated and of no further force and effect if the licensee moves or ceases operating a sexually oriented business at the location stated in the application for license pursuant to this section. For the purposes of this chapter, indicators of the cessation of operation shall include but not be limited to:
(1) Cessation of town or commercial water service; or
(2) Cessation of legally provided electrical service provided and consumed for the use in question for a period of 2 consecutive months.
(D) When the town revokes a license, the revocation shall continue for 1 year and the licensee shall not be issued a sexually oriented business license for 1 year from the date the revocation became effective. If, subsequent to revocation, the town finds that the basis for the revocation has been corrected or abated, the applicant may be granted a license if at least 90 days have elapsed since the date the revocation became effective.
(E) After denial of an application, or denial of a renewal of an application or revocation of any license, and all administrative measures have been exhausted, the applicant or licensee may seek immediate judicial review of the board action in the Superior Court of Henderson County.