CA Bus & Prof Code Section 23396.1


An on-sale general license for restricted service lodging establishments authorizes those hotels and motels described in subdivision (b) to sell alcoholic beverages for consumption on the premises only as follows:


By means of controlled access alcoholic beverage cabinets located in guestrooms, subject to the conditions specified in Section 23355.2.


Under circumstances where the uniform cost of the alcoholic beverages is included in the price of the overnight transient occupancy accommodation, whether or not separately stated.


Beer and wine in sealed containers to the licensee’s transient guests and their invitees from a food sale area as defined in subdivision (c) located within the lodging establishment itself.


For purposes of this division, a “restricted service lodging establishment” is a hotel or motel, within the meaning of subdivision (f) of Section 23355.2, which meets all of the following conditions:


It does not operate a bona fide eating place or other public premise.


It has at least 10 guestroom accommodations.


It does not derive more than 5 percent of its total gross annual revenues from sales of alcoholic beverages.


“Food sale area” means a food facility, within the meaning of Section 113789 of the Health and Safety Code, that routinely offers for sale, throughout the area’s normal hours of operation each day to all of the lodging establishment’s transient guests and their invitees, primarily items like prepackaged sandwiches, salads, snacks, candy, dairy products, water, soft drinks, and other nonalcoholic beverages in bottles or cans, and similar food items. The “food sale area” may also offer for sale various items such as health and beauty aids, cosmetics, nonprescription drugs, film, batteries, and similar sundries.


A premises licensed pursuant to this section shall not be authorized to sell or furnish alcoholic beverages to the general public, shall not be entitled to a caterer’s permit pursuant to Section 23399, and shall not be entitled to exercise any off-sale privileges pursuant to Section 23401. The provisions of Article 2 (commencing with Section 23815) of Chapter 5 do not apply to the issuance of on-sale general licenses for restricted service lodging establishments. An on-sale general restricted service lodging establishment license may be transferred to another person but not to another location. A licensee specified in this section shall purchase no alcoholic beverages for sale in this state other than from a wholesaler or winegrower licensee.


An applicant for an original on-sale general license for restricted service lodging establishments shall, at the time of filing the application for the license, accompany the application with a fee of six thousand dollars ($6,000). The annual renewal fee for a license issued pursuant to this section shall be the same as the applicable annual renewal fee for an on-sale general license.
Last Updated

Aug. 19, 2023

§ 23396.1’s source at ca​.gov