Within ninе months after the City of Atlanta issues an alcohol license, the holder of that license must “open for business the establishment referred to in the license,” and if the holder fails to do so, it automatically forfeits the license. City of Atlanta Code of Ordinances § 10-69 (a). SPI Club, Inc. operates two nightclubs in Atlantа, and in July 2010, the City issued an alcohol license for each club. Daniel Corporation contends that SPI Club failed to open either club for business within nine months of the issue of these licenses, and in April 2011, Daniel sued City officials, seeking a writ of mandamus to compel these officials to recognize an аutomatic forfeiture of the licenses. The court below found that SPI Club had, in fact, opened the clubs for business within the required time, and it denied the petition for a writ of mandamus. Daniel appeals, and we affirm.
After Daniel filed its petition, SPI Club intervened as a defendant, and the parties agreed to a stipulation of the material facts. According to that stipulation, one of the clubs hosted two private events in August 2010. The first event, on August 21, was a birthday celebration attended by approximately 100 people. The second event, on August 23, was a wedding celebration attended by approximately 50 people. Food and alcoholic beverages were served, but not sold, at both events, and musical entertainment was arranged by the third-party organizers of the events. Bartenders, servers, and other event workers were provided by a third-party employee leasing company that works with SPI Club. SPI Club charged a venue rental fee for the use of its club for the wedding celebration, but not for the birthday celebration.
The other club hosted a private event in October 2010 that was organized by a third-party promoter and attended by approximately 110 people. No food or alcoholic beverages were served at this event, but non-alcoholic beverages were served. The event was staffed by bartenders, servers, and other event workers provided by the same third-party employee leasing company, and the promoter hired a professional disc jockey for entertainment. SPI Club charged the promoter a venue rental fee for the use of the club, and the promoter charged a cover to the people who attended the event, keeping the cover charges for himself.
Daniel contends that SPI Club failed to “open [the clubs] for business,” as that term is used in the ordinance, in two respects. First, Daniel says, an establishment “open[s] for business” under the ordinance only when it commences to do business on a regular and continuing basis. Opening an establishment only on one or two days of a nine-month period does not, Daniel argues, satisfy the requirement. Second, Daniel contends, for a licensed establishment to “open for business,” it must make some use of the license. Because no alcohol was sold at either club within nine months of the issue of the licenses, SPI Club made no use of the license, Daniel asserts, and it did not, thеrefore, “open [either club] for business.”
The principles that guide our consideration of the meaning of statutes are settled ones, and we apply those same principles when we consider the meaning of an ordinance. Risser v. City of Thomasville,
With these principles in mind, we turn to City of Atlanta Code of Ordinances § 10-69 (a), which provides:
All holders of licenses under this division must, within nine months after the issuance of the license, open for business the establishment referred to in the license. Failure to open the licensed establishment within the nine-month period shall serve as automatic forfeiture and cancellation of the unused license, and no refund of license fees shall be made to the license holder.
City of Atlanta Code of Ordinances § 10-69 (a). We first consider thе contention that the “open for business” requirement implies regularity and continuity, such that a license holder does not “open [an establishment] for business” simply by doing irregular and occasional business there. In light of the meaning ordinarily attributed to the word “open” when used in the context in which it appears in the ordinance, see Bd. of Zoning Adjustment v. Fulton Fed. Sav. & Loan Assn.,
Moreover, our understanding of the “open for business” requirement is consistent with the structure of the automatic forfeiture ordinance as a whole. Thе ordinance deals in subsection 10-69 (a) with license holders that fail to commence business within nine months of the issue of the license, but it deals separately in subsection 10-69 (b) with license holders that fail to continue the operation of their licensed establishments:
Any holder of a license under this division who shаll begin the operation of the business as authorized in the license but who shall for a period of nine consecutive months thereafter cease to operate the business as authorized in the license shall, upon completion of the nine months, automatically forfeit the license, which license shall, by virtue of the failure to operate, be canceled without the necessity of any further action of the license review board or the council.
City of Atlanta Code of Ordinances § 10-69 (b). Subsection 10-69 (b) picks up where
We turn next to the contention that a license holder does not satisfy the “open for business” requirement of subsection 10-69 (a) unless and until it makes some use of the license, either by selling alcohol or offering it for sale. In clear and unambiguous terms, however, subsеction 10-69 (a) identifies “the establishment referred to in the license” as the object of the requirement that the license holder “open for business.” And in this context, “establishment” is ordinarily understood to refer to a business situated at a particular, fixed location.
In support of its contention that use of the license is rеquired, Daniel points to the
For these reasons, the court below properly denied the petition for a writ of mandamus, and we affirm the judgment below.
Judgment affirmed.
Notes
When used in this context, “to open” is usually understood to mean “[t]o commence the operation of: open a new business,’’ American Heritage Dictionary of the English Language, p. 1267 (3d ed. 1992), or to “[b]egin, start, commence; set in action, initiate, (proceedings, operations, or business).” 2 New Shorter Oxford English Dictionary, p. 2004 (1993 ed.). This understanding of the phrase is consistent with our decision in Monses v. State of Ga.,
Without an element of regularity and continuity, Daniel worries that subsection 10-69 (a) would permit a license holder to satisfy the requirement that a licensed establishment “open for business” within nine months by way of a sham transaction that involves nothing more than, for instance, unlocking the doors of the establishment for one sеcond. We decide nothing today about whether such an opening would satisfy the subsection 10-69 (a) requirement. We note that the stipulation in this case reflects bona fide business transacted at both clubs, albeit irregular and occasional business. According to the stipulation, numerous patrons visited еach club, workers were engaged to serve the patrons at each club, beverages were served at each club, and SPI Club charged a venue rental fee for the use of each club. The record in this case does not indicate any sham transaction of the sort about which Daniel worries.
As used in this context, “establishment” is normally understood to mean “[a] place of... business with its possessions and staff,” American Heritage Dictionary of the English Language, supra at p. 628, or a “business; the premises or personnel of this.” 1 New Shorter Oxford English Dictionary, supra at p. 853. This understanding is consistent with the usаge of “establishment” throughout the Atlanta alcohol ordinances. See, e.g., City of Atlanta Code of Ordinances § 10-1 (defining ‘bar” in terms of “an establishment having a minimum capacity of 25 persons and a maximum capacity of 100 persons”; defining “brewpub” as “any eating establishment in which beer or malt beveragеs are manufactured or brewed”; defining “entertainment” as a live performance “upon the premises of a licensed establishment”; defining “nightclub” as “an establishment” having, among other things, a certain minimum capacity; defining “open air café” as “an establishment” having, among other things, a certain minimum capacity; and defining “premises” by reference to certain patios attached to an “establishment”).
Such a more explicit requirement arguably is found in subsection 10-69 (b), which provides for forfeiture of a license issued to a holder who “shall begin the operation of the business as authorized in the license but who shall for a period of nine consecutive months thereafter cease to operate the business as authorized in the license.” We need not decide in this case, which involves only subsection 10-69 (a), whether “as authorized in the license” limits subsection 10-69 (b) to license holders that have made some use of their license and therеafter fail to continue to use the license. The automatic forfeiture ordinance may or may not deal with a license holder that commences operation of his business and later discontinues it, without ever having used the license. Compare City Council of St. Mary’s v. Crump,
The cоurt below observed that, under City of Atlanta Code of Ordinances § 1-3, “[t]he catchlines of the several sections of this Code in boldface type are intended as mere catchwords to indicate the contents of the sections and shall not be deemed or taken to be titles of such sectiоns nor as any part of such sections.” Moreover, we note that the full caption of section 10-69 is “Time limit for commencement of business in licensed establishment; forfeiture for nonuse,” a caption that is wholly consistent with our understanding of subsection 10-69 (a).
When it intervened as a defendant, SPI Club sought a deсlaratory judgment that the automatic forfeiture provision of subsection 10-69 (a) is unconstitutional. The court below concluded that the request for declaratory relief was moot in the light of its denial of the petition for mandamus, but the court proceeded to address the constitutional issues anyway. The constitutional issues are not raised on appeal, and we decide nothing about the constitutionality of subsection 10-69 (a).
