 |
Virginia Administrative Code (Last Updated: January 10, 2017) |
 |
Title 3. Alcoholic Beverages |
|
Agency 5. Alcoholic Beverage Control Board |
|
Chapter 50. Retail Operations |
Section 220. Interests in the businesses of licensees
-
Persons to whom licenses have been issued shall not allow any other person to receive a percentage of the income of the licensed business or have any beneficial interest in such business; provided, however, that nothing in this section shall be construed to prohibit:
1. The payment by the licensee of a franchise fee based in whole or in part upon a percentage of the entire gross receipts of the business conducted upon the licensed premises, where such is reasonable as compared to prevailing franchise fees of similar businesses; or
2. Where the licensed business is conducted upon leased premises, and the lease when construed as a whole does not constitute a shift or device to evade the requirements of this section:
a. The payment of rent based in whole or in part upon a percentage of the entire gross receipts of the business, where such rent is reasonable as compared to prevailing rentals of similar businesses; and
b. The landlord from imposing standards relating to the conduct of the business upon the leased premises, where such standards are reasonable as compared to prevailing standards in leases of similar businesses, and do not unreasonably restrict the control of the licensee over the sale and consumption of alcoholic beverages.
Historical Notes
Derived from VR125-01-5 § 22, eff. December 12, 1985; amended, Volume 04, Issue 06, January 21, 1988; Volume 05, Issue 02, eff. November 24, 1988; Volume 07, Issue 04, eff. December 19, 1990; Volume 08, Issue 06, eff. January 15, 1992; Volume 09, Issue 06, eff. January 13, 1993; Volume 10, Issue 11, eff. March 23, 1994.