Coumaris v. DIST. OF COL. ALCOHOLIC BEV. BD.

660 A.2d 896
CourtDistrict of Columbia Court of Appeals
DecidedJune 22, 1995
Docket94-AA-139, 94-AA-242
StatusPublished

This text of 660 A.2d 896 (Coumaris v. DIST. OF COL. ALCOHOLIC BEV. BD.) is published on Counsel Stack Legal Research, covering District of Columbia Court of Appeals primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Coumaris v. DIST. OF COL. ALCOHOLIC BEV. BD., 660 A.2d 896 (D.C. 1995).

Opinion

660 A.2d 896 (1995)

Tom COUMARIS, Petitioner,
v.
DISTRICT OF COLUMBIA ALCOHOLIC BEVERAGE CONTROL BOARD, Respondent,
Circle I Productions, Inc., Intervenor.

Nos. 94-AA-139, 94-AA-242.

District of Columbia Court of Appeals.

Argued January 20, 1995.
Decided June 22, 1995.

*897 J. Keith Ausbrook, Washington, DC, for petitioner.

Vanessa Ruiz, Acting Corp. Counsel at the time the statement was filed, and Charles L. Reischel, Deputy Corp. Counsel, Washington, DC, filed a statement in lieu of brief for respondent.

Benjamin J. Lambiotte, Washington, DC, for intervenor.

*898 Before STEADMAN and SCHWELB, Associate Judges, and PRYOR, Senior Judge.

SCHWELB, Associate Judge:

Tom Coumaris asks us to review a decision of the District of Columbia Alcoholic Beverage Control Board granting Circle I Productions, Inc. a license to sell alcoholic beverages at a nightclub in northwest Washington, D.C. Coumaris had submitted a petition proposal to the Board in opposition to the application. This submission was the first step towards what Coumaris hoped would be the exercise of a neighborhood veto, which was to be accomplished by collection, in support of the protest, of the signatures of a majority of the voters residing within a 600-foot radius of the establishment. See D.C.Code § 25-115(e) (1991). The Board rejected the petition upon the ground that the supporting statement contained false representations of fact.

In this court, Coumaris' primary contention is that the Board exceeded its authority in rejecting the petition outright. Because the Board failed to articulate the legal basis for its exercise of that authority, we remand the case for further proceedings.

I.

In February 1993, Circle I filed an application with the Board for a retailer's class C/N license to sell alcohol at a nightclub at 1831 14th Street, N.W. On April 12, 1993, Coumaris circulated to residents in the vicinity of the proposed establishment a flyer detailing his objections to Circle I's application. Coumaris claimed that "what [Circle I] never discloses is that [its] real application (copy attached) is for a public hall ... and for a nightclub license—all liquor no food." This statement was untrue,[1] for Circle I proposed to serve food at the establishment.

Coumaris also attached to his flyer what purported to be a copy of Circle I's Certificate of Occupancy. On the copy, however, he obliterated the language indicating that use of the premises as a restaurant was authorized. He attached the cover sheet to Circle I's public hall license, but selectively omitted those portions which showed that Circle I had also applied for a restaurant license.

In his flyer, Coumaris further asserted that once granted, liquor licenses had "no mortality; they live forever." He implied that such licenses are freely transferable and renewable and that members of the public would have no opportunity to protest a renewal or transfer of the license before the Board. This representation was inaccurate. See, e.g., Donnelly v. District of Columbia Alcoholic Beverage Control Bd., 452 A.2d 364, 365-66 (D.C.1982).

The District of Columbia Alcoholic Beverage Control Act, D.C.Code §§ 25-101, et seq. (1991) ("the Act"), authorizes a process by which residents of the immediate area in which a license to sell alcoholic beverages is sought may oppose the issuance of the license. A majority of the registered voters within a 600-foot radius of the applicant's premises are effectively given a veto power over the application. See Gerber v. District of Columbia Alcoholic Beverage Control Bd., 499 A.2d 1193, 1197 (D.C.1985); MacArthur Liquors, Inc. v. Palisades Citizens Ass'n, 105 U.S.App.D.C. 180, 265 F.2d 372 (1959). An eligible objector may initiate the petition process by submitting to the Board a petition proposal, which must be accompanied by a statement of no more than 100 words identifying the basis for the objection. D.C.Code § 25-115(e)(3).

On April 27, 1993, Coumaris submitted his petition proposal to the Board. His primary stated basis for objecting to the issuance of the license was that "a nightclub license, which does not require food, for a building with a legal seated occupancy of 499 persons is incompatible with our adjoining residential area." In addition, Coumaris again represented that "such a license can be transferred."

On May 12, 1993, Circle I filed a motion to dismiss the petition, claiming that Coumaris' petition proposal materially mischaracterized *899 the nature of Circle I's establishment. Circle I asserted that Coumaris had falsely represented that the proposed establishment would not serve food, when in fact it would, and that a license, once issued, was automatically transferable, when in fact a transfer could not be accomplished without leave of the Board. Circle I argued that Coumaris had irreparably tainted the petition process by circulating false and misleading information to residents of the neighborhood.

On June 16, 1993, the Board, through its Chair, Mary Eva Candon, orally granted Circle I's motion to dismiss Coumaris' petition. The decision was grounded on the "cumulative misrepresentation of the nature of the establishment that produced bias on the part of those reading the petition and [on] the material misrepresentations of fact." Ms. Candon cited

the repeated mentioning that the licensee would have no food ... [which] was a material misrepresentation of fact, and this went beyond ... the face of the petition, with the attached C[ertificate] of O[ccupancy] which was materially altered to prevent anyone signing the petition from recognizing that the license was a restaurant license.... Another point is that it misrepresents to the potential signatories the Board's role in whether or not a transfer could or could not take place.

Ms. Candon did not address the question whether dismissal of the petition was authorized by the Act.

During the summer of 1993, the Board held several public hearings on the merits of Circle I's application. On December 15, 1993, the Board issued a final written order granting the license. The Board reiterated in its order that it had dismissed Coumaris' petition "because of material misrepresentations regarding the application and omissions of fact." The Board's order contained detailed Findings of Fact and a single ten-line Conclusion of Law. Once again, the question whether the Board had the authority to dismiss Coumaris' petition was not addressed. Coumaris filed a timely petition for review.

II.

The scope of our review is well established. The District's Administrative Procedure Act, D.C.Code § 1-1510(a)(3)(E) (1992), requires us to affirm the Board's decision if it is supported by substantial evidence. Donnelly, supra,

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Coumaris v. District of Columbia Alcoholic Beverage Control Board
660 A.2d 896 (District of Columbia Court of Appeals, 1995)

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