Mcmanus Enters., Inc. v. Neb. Liquor Control Comm'n
926 N.W.2d 660
| Neb. | 2019Background
- McManus Enterprises (Heidelberg's) hosted a post-boxing match event for a third‑party promoter; the promoter hired an independent security company.
- Omaha PD warned Lincoln PD about a prior post-match disturbance; Lincoln PD informed McManus (McManus disputed awareness of details).
- A brawl broke out at about 1:55 a.m.; Lincoln PD and some hired guards broke up the fights and cleared the bar within ~15–20 minutes.
- Nebraska Liquor Control Commission charged and found McManus violated 237 Neb. Admin. Code ch. 6 § 019.01F (the "disturbance rule") and revoked its liquor license.
- The district court affirmed; McManus appealed. The Nebraska Supreme Court reviewed whether the commission and district court misinterpreted the rule's plain language.
Issues
| Issue | Plaintiff's Argument | Defendant's Argument | Held |
|---|---|---|---|
| Whether hosting an event with knowledge of potential trouble violates § 019.01F | McManus: Rule prohibits allowing an existing disturbance to continue, not preventing possible future disturbances | State/Commission: Licensee violated rule by hosting event despite known risks and inadequate control of third‑party security | Held: No violation unless an unreasonable disturbance actually occurred and was allowed to continue; mere hosting with awareness is insufficient |
| Timing/duty to act under § 019.01F (meaning of "to continue") | McManus: Duty to take steps to "terminate" arises only after a disturbance has occurred and is ongoing | Commission: Duty may be preventative; licensee can be sanctioned for enabling conditions that permit a disturbance to occur | Held: The phrase "to continue" is plain; duty to terminate springs into effect only after a disturbance has occurred and is ongoing |
Key Cases Cited
- Leon V. v. Nebraska Dept. of Health & Human Servs., 302 Neb. 81, 921 N.W.2d 584 (2019) (agency‑rule interpretation principles)
- DLH, Inc. v. Nebraska Liquor Control Comm., 266 Neb. 361, 665 N.W.2d 629 (2003) (agency rulemaking and enforcement authority)
- Melanie M. v. Winterer, 290 Neb. 764, 862 N.W.2d 76 (2015) (use of plain language in construing regulations)
- Patterson v. Metropolitan Util. Dist., 302 Neb. 442, 923 N.W.2d 717 (2019) (rules of statutory construction: effect to all words)