Dock Club, Inc. v. Illinois Liquor Control Commission

428 N.E.2d 735, 101 Ill. App. 3d 673, 57 Ill. Dec. 185, 1981 Ill. App. LEXIS 3569
CourtAppellate Court of Illinois
DecidedNovember 19, 1981
Docket17088
StatusPublished
Cited by3 cases

This text of 428 N.E.2d 735 (Dock Club, Inc. v. Illinois Liquor Control Commission) is published on Counsel Stack Legal Research, covering Appellate Court of Illinois primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Dock Club, Inc. v. Illinois Liquor Control Commission, 428 N.E.2d 735, 101 Ill. App. 3d 673, 57 Ill. Dec. 185, 1981 Ill. App. LEXIS 3569 (Ill. Ct. App. 1981).

Opinion

Mr. JUSTICE GREEN

delivered the opinion of the court:

We hold here that a practice of plaintiff, The Dock Club, Inc., in operating a licensed dramshop, to sponsor as a promotion, “ladies nights” whereby only females but not males were permitted to purchase drinks at a price reduced from plaintiff’s regular price did not violate article VI, section 12b, of the Dramshop Act. That section provides:

“No licensee licensed under the provisions of this Act shall deny or permit his agents and employees to deny any person the full and equal enjoyment of the accommodations, advantages, facilities and privileges of any premises in which alcoholic liquors are authorized to be sold subject only to the conditions and limitations established by law and applicable alike to all citizens.” Ill. Rev. Stat. 1979, ch. 43, par. 133.

On January 18,1980, defendant, Illinois Liquor Control Commission, issued a citation and notice of hearing against plaintiff setting forth dates upon which “ladies nights” had been held by plaintiff and charging the practice to violate section 12b of the Dramshop Act. On October 8,1980, a hearing was held by defendant. On December 10, 1980, defendant issued an administrative order finding plaintiff to have violated section 12b and fining plaintiff $500. On January 7, 1981, defendant denied plaintiff’s petition for rehearing. On January 13, 1981, plaintiff filed a complaint under the Administrative Review Act (Ill. Rev. Stat. 1979, ch. 110, par. 264 et seq.) in the circuit court of Sangamon County. After a hearing, the circuit court reversed the administrative order on March 13, 1981. Defendant has appealed.

Prior to the institution of the administrative proceedings, defendant, had complained to plaintiff about its practice of holding “ladies nights.” On December 5,1979, plaintiff filed suit in the circuit court of Sangamon County seeking primarily a declaratory judgment approving its use of the “ladies night” promotion. That court issued an interlocutory order enjoining defendant’s pursuit of its citation proceedings then in process. On interlocutory appeal we reversed that order, holding that plaintiff was not entitled to relief prior to its exhaustion of its administrative remedies. Dock Club, Inc. v. Illinois Liquor Control Com. (1980), 83 Ill. App. 3d 1034, 404 N.E.2d 1050.

On appeal from the circuit court’s reversal of the administrative order, the defendant Commission maintains that under both the literal language of article VI, section 12b, of the Dramshop Act and well-settled rules of construction, the section prohibits a dramshop from establishing a price differential determined by the sex of the customer. Plaintiff responds, arguing: (1) defendant had no standing “to litigate the rights of nonexistent third parties,” (2) section 12b applies only to restriction upon entry and obtaining service in the establishment and does not prohibit charging different groups of people different prices for drinks, and (3) the imposition of the fine was improper even if a violation occurred.

We summarily refute plaintiff’s claim that defendant had no standing. Its theory arises from the decision in Illinois Liquor Control Com. v. City of Joliet (1975), 26 Ill. App. 3d 27, 324 N.E.2d 453, where the court held the Commission had no standing to challenge validity of a Joliet ordinance raising the drinking age to 21 years. The Commission claimed the rights of those 19 and 20 years of age were being violated, but the court stated the Commission had no standing to .vindicate the constitutional rights of third parties. Here, the issue was whether plaintiff was in violation of the Dramshop Act and article III, section 12(1) of the Act (Ill. Rev. Stat. 1979, ch. 43, par. 108(1)) which includes among the powers granted to defendant, the power to suspend or revoke licenses and to order fines against licensees for violation of the Act. Defendant was in the exercise of these statutory powers in conducting the instant administrative proceedings.

In examining the question of whether the practice of holding “ladies nights” was in violation of the Act, we are impressed with the lack of precedent. Article VI, section 12b, was part of the original Dramshop Act as adopted in 1934. No case involving a promotion by a dramshop whereby one class of customers may purchase drinks at reduced prices has been called to our attention, nor has any similar case arising under similar legislation concerning discrimination in the general furnishing of public accommodations. Ill. Rev. Stat. 1979, ch. 38, par. 13 — 2, repealed effective July 1,1980 (see Ill. Rev. Stat., 1980 Supp., ch. 68, par. 5 — 101).

The only nearly similar case from another jurisdiction is Magid v. Oak Park Racquet Club Associates, Ltd. (1978), 84 Mich. App. 522, 269 N.W.2d 661, where the defendant club had a policy of offering discounted annual memberships to women as a promotion to attract more female members. The Michigan statute prohibited such a facility from denying “full and equal accommodations, advantages, facilities, and privileges.” (Mich. Comp. Laws Ann. §750.146 (1968).) The court construed that section of the statute with other sections (Mich. Comp. Laws Ann. §750.147 (1968)) which provided for awards of damages upon “a withholding, refusal or denial” of public accommodations (84 Mich. App. 522, 527, 269 N.W.2d 661, 663). The court concluded that a cause of action arose only if there was a withholding, refusal, or denial of accommodations and did not arise from the existence of a price differential for membership.

Both sides discuss Dugans Bistro, Inc. v. Daley (1977), 56 Ill. App. 3d 463, 371 N.E.2d 1116, and Walton Playboy Clubs, Inc. v. City of Chicago (1962), 37 Ill. App. 2d 425,185 N.E.2d 719. Both cases concern the right of access to a dramshop. In the former case the court held that a trier of fact could conclude that a would be patron to a dramshop was deprived of her rights under article VI, section 12b, when she was required to furnish an unreasonable amount of identification before being allowed to enter. The court stated: “The statute forbids the licensee to deny any person the full enjoyment of the accommodation, advantages, facilities and privileges.” (56 Ill. App. 3d 463, 473, 371 N.E.2d 1116, 1124.) In Walton Playboy Clubs, Inc., the appellate court affirmed a portion of a declaratory judgment ruling that a dramshop did not violate article VI, section 12b, or more general legislation entitling all persons “to the full and equal enjoyment of the accommodation, advantages, facilities and privileges of * * * taverns ” # (Ill. Rev. Stat. 1959, ch. 38, par.

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Bluebook (online)
428 N.E.2d 735, 101 Ill. App. 3d 673, 57 Ill. Dec. 185, 1981 Ill. App. LEXIS 3569, Counsel Stack Legal Research, https://law.counselstack.com/opinion/dock-club-inc-v-illinois-liquor-control-commission-illappct-1981.