LCQ Compliance and Enforcement 1 — Questions and Answers
Question 1: Who are the licensing inspectors under the Sale and Supply of Alcohol Act 2012 in NZ?
- Officials appointed by territorial authorities to monitor licensed premises and report on licence applications (Correct answer)
- Police officers who specialise in alcohol-related crime
- Volunteers from community groups
- Staff employed by the Alcohol Advisory Council
Correct answer: Officials appointed by territorial authorities to monitor licensed premises and report on licence applications
Licensing inspectors are officials appointed by territorial authorities (councils) to monitor compliance on licensed premises, conduct inspections, report on licence applications, and bring enforcement proceedings when necessary.
Question 2: What enforcement action can be taken against a licensed premises that repeatedly breaches the Act in NZ?
- The licence can be suspended for up to 7 days, have conditions varied, or be cancelled entirely (Correct answer)
- The premises receive unlimited warnings before any action is taken
- Only a fine can be imposed — the licence cannot be cancelled
- The premises is physically closed by police and demolished
Correct answer: The licence can be suspended for up to 7 days, have conditions varied, or be cancelled entirely
For repeated breaches, enforcement action can include suspension of the licence for up to 7 days, variation of licence conditions (adding restrictions), or complete cancellation of the licence by ARLA or the DLC.
Question 3: What are 'controlled purchase operations' (CPOs) in the NZ alcohol enforcement context?
- Supervised operations where a person aged 15-17 attempts to purchase alcohol to test compliance with age verification laws (Correct answer)
- Operations where police purchase alcohol to test for contamination
- Secret shopping exercises to test customer service quality
- Operations to control the price of alcohol in certain areas
Correct answer: Supervised operations where a person aged 15-17 attempts to purchase alcohol to test compliance with age verification laws
Controlled purchase operations involve supervised volunteers aged 15-17 attempting to buy alcohol from licensed premises to test whether staff are complying with age verification requirements. They are conducted under police or licensing inspector supervision.
Question 4: What is the penalty for the licensee if a controlled purchase operation results in a sale to a minor in NZ?
- The licence can be suspended, conditions varied, or the licence cancelled; the person who made the sale can be fined up to $10,000 (Correct answer)
- No penalty — CPOs are only for educational purposes
- A warning letter is issued on the first occasion only
- The police officer supervising the CPO is disciplined instead
Correct answer: The licence can be suspended, conditions varied, or the licence cancelled; the person who made the sale can be fined up to $10,000
If a CPO results in a sale to a minor, the person who made the sale faces a fine of up to $10,000, and the licensing authority can take action against the licence including suspension, adding conditions, or cancellation.
Question 5: Under NZ law, what records must a licensed premises maintain and make available for inspection?
- Staff training records, incident register, duty manager roster, and complaints register (Correct answer)
- Only financial accounts and tax records
- No records are required as long as the licence is displayed
- Only CCTV footage is required
Correct answer: Staff training records, incident register, duty manager roster, and complaints register
Licensed premises must maintain and make available for inspection: staff training records (including responsible service of alcohol), an incident register, a duty manager roster showing who was on duty and when, and records of any complaints.
Question 6: What is the role of the Medical Officer of Health (MOH) in NZ alcohol licensing?
- To report on licence applications regarding the potential impact on public health and to object where appropriate (Correct answer)
- To provide free medical care to intoxicated patrons
- To inspect food preparation areas in licensed restaurants
- To issue medical certificates to licence applicants
Correct answer: To report on licence applications regarding the potential impact on public health and to object where appropriate
The Medical Officer of Health is one of the three reporting agencies under the Act. They assess licence applications for their potential impact on public health and can report on or oppose applications where they identify health concerns.
LCQ Compliance and Enforcement 1
Who are the licensing inspectors under the Sale and Supply of Alcohol Act 2012 in NZ?