7-51-1106 - License to operate Qualifications.

7-51-1106. License to operate Qualifications.

To receive a license to operate an adult-oriented establishment, an applicant must meet the following standards:

     (1)  (A)  If the applicant is an individual:

                (i)  The applicant shall be at least eighteen (18) years of age;

                (ii)  The applicant shall not have had a license revoked within five (5) years immediately preceding the date of the application;

                (iii)  The applicant shall not have been convicted of or pleaded nolo contendere to any violation of this part within five (5) years immediately preceding the date of the application; and

                (iv)  The applicant shall not have been convicted of a “specified criminal act,” as defined in § 7-51-1102(25), for which:

                     (a)  Less than two (2) years have elapsed since the date of conviction if the conviction is for a misdemeanor offense;

                     (b)  Less than five (5) years have elapsed since the date of conviction if the conviction is for a felony offense;

                     (c)  Less than five (5) years have elapsed since the date of conviction for two (2) or more misdemeanor offenses occurring within any twelve-month period;

          (B)  The fact that a conviction is being appealed shall have no effect on disqualification of the applicant;

     (2)  (A)  If the applicant is a corporation:

                (i)  All officers, directors and stockholders required to be named under § 7-51-1105(b) shall be at least eighteen (18) years of age;

                (ii)  No officer, director and stockholder required to be named under § 7-51-1105(b) shall have had an adult-oriented establishment license revoked within five (5) years immediately preceding the date of the application;

                (iii)  No officer, director or stockholder required to be named under § 7-51-1105(b) shall have been convicted of or pleaded nolo contendere to any violation of this part within five (5) years immediately preceding the date of the application; and

                (iv)  The applicant or officer, director or stockholder required to be named under § 7-51-1105(b) shall not have been convicted of a “specified criminal act,” as defined in § 7-51-1102(25), for which:

                     (a)  Less than two (2) years have elapsed since the date of conviction if the conviction is for a misdemeanor offense;

                     (b)  Less than five (5) years have elapsed since the date of conviction if the conviction is for a felony offense; and

                     (c)  Less than five (5) years have elapsed since the date of conviction for two (2) or more misdemeanor offenses occurring within any twelve-month period;

          (B)  The fact that a conviction is being appealed shall have no effect on disqualification of the applicant;

     (3)  (A)  If the applicant is a partnership, joint venture or any other type of organization where two (2) or more persons have a financial interest:

                (i)  All persons having a financial interest in the partnership, joint venture or other type of organization shall be at least eighteen (18) years of age;

                (ii)  All persons having a financial interest in the partnership, joint venture or other type of organization shall not have had a license revoked within five (5) years immediately preceding the date of the application;

                (iii)  No applicant or person having a financial interest in the partnership, joint venture or other type of organization shall have been convicted of or pleaded nolo contendere to any violation of this part within five (5) years immediately preceding the date of the application; and

                (iv)  The applicant or any person having a financial interest required to be disclosed shall not have been convicted of a “specified criminal act,” as defined in § 7-51-1102(25), for which:

                     (a)  Less than two (2) years have elapsed since the date of conviction if the conviction is for a misdemeanor offense;

                     (b)  Less than five (5) years have elapsed since the date of conviction if the conviction is for a felony offense;

                     (c)  Less than five (5) years have elapsed since the date of conviction for two (2) or more misdemeanor offenses occurring within any twelve-month period;

          (B)  The fact that a conviction is being appealed shall have no effect on disqualification of the applicant;

     (4)  No license shall be issued unless the board or sheriff's department has investigated the applicant's qualifications to be licensed. The results of that investigation shall be filed in writing with the board no later than twenty (20) days after the date of the application. The board shall only deny an application for a license for reasons set forth in this part;

     (5)  An applicant who has been convicted of any “specified criminal activities” may not be denied a permit based on those convictions once the time period required in this section has elapsed.

[Acts 1987, ch. 432, § 6; 1998, ch. 1090, § 1; 2001, ch. 183, § 3.]