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A. Statutory Authorization: This section is enacted in accordance with Colorado Revised Statutes sections 12-46-106.5 and 12-47-106.5 which authorize a local licensing authority, at its discretion, to issue a temporary permit to a transferee of a fermented malt beverage license or a liquor license issued by the state licensing authority.
B. Authority To Issue: The local licensing authority is hereby authorized to issue a temporary permit to a transferee of a fermented malt beverage license or of any class of liquor license which shall authorize the transferee to continue selling such fermented malt beverages or alcoholic beverages as permitted under the permanent license during the period in which an application to transfer the ownership of the license is pending.
C. Conditions; Fee: A temporary permit shall authorize the transferee to conduct business and sell either fermented malt beverages or alcoholic beverages, as the case may be, at retail in accordance with the license of the transferrer subject to compliance with all of the following conditions:
1. The premises where such fermented malt beverages or alcoholic beverages are sold shall have been previously licensed by the state and local licensing authority and such license shall have been valid at the time the application for transfer of ownership was filed with the local licensing authority.
2. The applicant has filed with the local licensing authority on forms provided by the department of revenue a completed application for the transfer of the fermented malt beverage license or the liquor license.
3. The application for a temporary permit shall be filed no later than thirty (30) days after the filing of the application for transfer of ownership and shall be accompanied by a temporary permit fee of one hundred dollars ($100.00).
D. Process: The temporary permit set forth in this section may be granted by the town clerk with the verbal approval of the chairman of the local licensing authority and if the chairman is not available such approval may be given by any member of the local licensing authority. If so granted, the temporary permit shall be issued within three (3) working days after the receipt of the completed application. A temporary permit issued in accordance with this section shall be valid until such time as the application to transfer ownership of the license to the applicant is granted or for one hundred twenty (120) days, whichever shall occur first; except that, if the application to transfer the license has not been granted within the one hundred twenty (120) day period and the transferee demonstrates good cause, the local licensing authority may extend, in its discretion, the validity of said permit for an additional period not to exceed sixty (60) days.
E. Bankruptcy: A temporary permit may also be authorized in the event of a transfer of possession of the licensed premises by operation of law, a petition in bankruptcy pursuant to federal bankruptcy law, the appointment of a receiver, a foreclosure action by a secured party, or a court order dispossessing the prior licensee of all rights of possession pursuant to Colorado Revised Statutes article 40 of title 13, as amended.
F. Cancellation: A temporary permit issued in accordance with this section may be canceled, revoked, or summarily suspended if the local or state licensing authority determines that there is probable cause to believe that the transferee has violated any provision of this section or has violated any rule or regulation adopted by the local or state licensing authority or has failed to truthfully disclose those matters required pursuant to the application forms required by the department of revenue. (Ord. 23(1991): Ord. 20(1984) § 1)