LCQ Compliance and Enforcement 2 — Questions and Answers
Question 1: Under the Act, what is a 'compliance order' and who can issue one in NZ?
- An order requiring a licensee to comply with specific conditions of their licence, issued by a licensing inspector or the DLC (Correct answer)
- A court order banning a person from all licensed premises nationwide
- An order from the police to close a premises immediately
- A financial penalty issued by the IRD for unpaid alcohol tax
Correct answer: An order requiring a licensee to comply with specific conditions of their licence, issued by a licensing inspector or the DLC
A compliance order requires a licensee to take specific actions to comply with their licence conditions or the Act. It can be issued by a licensing inspector or the DLC and must be complied with within the specified timeframe.
Question 2: What power does the police have to close licensed premises immediately in NZ?
- Police can issue a 24-hour closure order if they believe continued operation will result in fighting, violence, or significant threat to public safety (Correct answer)
- Police have no power to close premises — only the DLC can do this
- Police can close any premises at any time for any reason
- Police can only request voluntary closure through the licensee
Correct answer: Police can issue a 24-hour closure order if they believe continued operation will result in fighting, violence, or significant threat to public safety
Under the Act, a senior police officer can order the immediate closure of licensed premises for up to 24 hours if they believe that continued operation will result in fighting, disorder, or a significant threat to public health and safety.
Question 3: What is the penalty for operating without a licence (selling alcohol without any licence) in NZ?
- A fine of up to $40,000 for an individual or $200,000 for a body corporate (Correct answer)
- A warning letter from the council
- A fine of $500 and mandatory community service
- No specific penalty — unlicensed sale is not an offence
Correct answer: A fine of up to $40,000 for an individual or $200,000 for a body corporate
Selling alcohol without a licence is a serious offence under the Act, carrying penalties of up to $40,000 for an individual or up to $200,000 for a body corporate (company or organisation).
Question 4: How can a member of the public object to a licence application in NZ?
- By filing a written objection with the District Licensing Committee within the prescribed notification period (Correct answer)
- By posting their concerns on social media
- By calling the police to complain
- Members of the public cannot object — only reporting agencies can
Correct answer: By filing a written objection with the District Licensing Committee within the prescribed notification period
Members of the public can file a written objection with the DLC within the prescribed notification period after the application is publicly notified. Objections must be based on grounds related to the criteria in the Act.
Question 5: What is the purpose of the 'host responsibility' signage that must be displayed on NZ licensed premises?
- To inform patrons about responsible drinking, available alternatives, and the premises' commitment to host responsibility (Correct answer)
- To advertise the brand of alcohol sold on the premises
- To display the menu prices for all drinks
- To warn patrons about CCTV surveillance
Correct answer: To inform patrons about responsible drinking, available alternatives, and the premises' commitment to host responsibility
Host responsibility signage informs patrons about the premises' commitment to responsible service, the availability of food, water, and non-alcoholic alternatives, and contact information for safe transport options.
Question 6: Under the Act, what is the consequence for a manager's certificate holder who is convicted of a relevant offence?
- Their manager's certificate may be suspended or cancelled by the licensing authority (Correct answer)
- Nothing — criminal convictions do not affect the manager's certificate
- They automatically lose their certificate for life
- They must retake the LCQ exam within 30 days
Correct answer: Their manager's certificate may be suspended or cancelled by the licensing authority
If a manager's certificate holder is convicted of a relevant offence (alcohol-related offence, violence, dishonesty), the licensing authority can suspend or cancel their manager's certificate, which prevents them from working as a duty manager.
Under the Act, what is a 'compliance order' and who can issue one in NZ?