technical and legal requirements in hotel and restaurent

8/3/2019 Technical and Legal Requirements in Hotel and Restaurent

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TECHNICAL AND LEGAL

REQUIREMENTS IN HOTEL ANDRESTAURENT INDUSTRY

FROM

ROHAN SEHGAL

SANIT

SHANTANU BATTA

TUSHAR NANGIA

BIRENDER CHOUDHARY


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Business license

Sales tax license (also called a reseller permit)

Health department license Fire department license

Food handlers permit (for all employees)

Waste-water/sewer permit

Liquor license

Music system license

Special city permits for signs, outdoor seating, late hours, etc.

Building permits for any changes/modifications to the structure

Exhaust air and ventilation permit for hood

Landlord may have special requirements/permits needed

BASIC LEGAL REQUIREMENTS


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Every year Government formulates the Excise Policy

and in pursuance to this policy all the liquor Licencesare granted.

Off Site Consumption Licenses includes L-1, L-2 and L-6.

L1 Licenses are granted for the wholesale vending toa Company or a society or a partnership firm orproprietorship firm provided the applicant ownsdistillery / breweries / manufacturing units.

LIQUOR LICENSE


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The aspirants for the grant of L-1 Licenses have to comply with the procedure

as laid down in the terms and conditions for the grant of L-1 Licences whichare made available in the Office during the notice period. The applicant has tosubmit the following documents along with the application on the prescribedformat :

Income Tax Clearance Certificate

No Dues Certificate from Collector (Excise)

No Dues Certificate from Sales Tax Officer

CA Certificate for sale and minimum ex-distillery prices.

Certificate from Excise Authority concerned regarding sale figure.

Power of Attorney

GRANT OF L1 LICENSE


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Duly audited annual account and balance sheet of distillery.

Attested copy of the license for establishment of distillery/winery/bottlingunit/brewery.

Attested photocopies of export passes.

Trade Mark Certificate.

User ship agreement underTrade & Merchandise Marks Act, 1958.

A certificate from a government authorized laboratory or other reputed privateinstitutions regarding quality of brand.

An affidavit stating that there is nothing adverse or against the applicant in viewof the provision of rule 7 of Intoxicants License and Sale Rule, 1976.

Documentary evidence to prove that the product is manufactured from natural

alcohol (Double distilled) Extra natural alcohol.


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L-2 Licence for retail vend of foreign liquor/beer are granted only toselect undertakings of the government. As such an individual who

wants to give his premises on rent for opening of vend has toapproach any of these corporations, which after looking intosuitability of the premises approach the office of the Commissionerof Excise for grant of L-2 license in respect of the premises.

Broadly any premises to be suitable for opening of liquor vend

should meet the following requirement :- The vend premises should be in a pucca building with minimum

floor area of 300 sqft. on a floor and located in commercial area.

The area MLA should have given his positive opinion in respect of

vend premises, as regards opening of the vend.

GRANT OF L2 LICENSE


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The vend premises are inspected by the site selection committee. The Committee

inspects the shop to ascertain that the premises meet the requirement of excise rules

as below :

"No liquor shop for consumption off the premises shall be located within a distance of

75 meters from the following, namely: Any industrial estate and other major construction site.

Major educational institutions

Religious Places

Hospitals and Nursing Homes with more than twenty five beds; and

Colonies of Labourers and harijans If the proposed premises meet the above requirement and found

suitable, the grant of L-2 Licence is approved and the concernedCorporation is required to deposit Rs. 1,00,000/- as license feebefore issue of license.


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On site Consumption Licences :

Department grants licence to hotels which are holding starclassification and approval of Department of Tourism, Govt. of Indiawhich are considered necessary for grant of Licence in form L-3.These hotels can also seek separate Licence in form L-5 for serviceof liquor in exclusive bar and in the restaurant in the hotel premisesonly. The hotel is required to submit application on its letter headaccompanied by the following documents :-

Documentary proof regarding legal status of the hotel i.e. whetherit is a company, partnership firm etc.

Whether the hotel is in legal possession of the plot.

Completion certificate in respect of the hotel building.

Trade licence from the Local Authority.

GRANT OF L3/L5 LICENSE OR

MUNCIPAL LICENSES


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L-4 Licence is granted to an independent restaurant approved by Department of

Tourism, Govt. of India. Such restaurants can apply in the office of theCommissioner of Excise in prescribed form and submit documents as indicated inthe application form.

The restaurant should be situated in commercial area with adequate parkingspace. T

he restaurant has to meet the requirement of rule 11 of Delhi Intoxicants Licence& Sales Rules, 1976 as quoted in case of L-3/L-5 Licences conditions.

Rest of the procedure for the grant of Licence is the same as indicated in case ofL-3/L-5 Licence.

GRANT OF L4 LICENSE IN

INDEPENDENT RESTAURENT

L-4 License is granted to an independent restaurant approved by Department of

Tourism, Govt. of India. Such restaurants can apply in the office of theCommissioner of Excise in prescribed form and submit documents as indicated inthe application form.

The restaurant should be situated in commercial area with adequate parkingspace. T

he restaurant has to meet the requirement of rule 11 of Delhi Intoxicants Licence& Sales Rules, 1976 as quoted in case of L-3/L-5 Licences conditions.

Rest of the procedure for the grant of Licence is the same as indicated in case ofL-3/L-5 Licence.


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L-19 Licence is granted for service of liquor/beer in a club. The applicant is

required to apply on the letter head of the club to the office of the Commissionerof Excise and the accompanying documents are to be as below:-

Registration certificate in respect of club.

Documentary proof in support of legal possession of the plot of the club.

NOC from the area DCP.

List of members of the club. List of the office bearers of the club.

Resolution passed by the Management Committee to start the bar facility in theclub and also to meet the liability thereof.

GRANT OF L19 LICENSE


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Grant of L-19A License

L-19A license is granted for service of Liquor/Beer at a club/mess whose membershipis exclusively for Government Servants and is not run on commercial lines. Thedocuments/procedure required for granting L-19A License is similar to the grant of

L19 license. L-19 License Fee

The following is the fee structure for L-19 License:-

Club with membership up to 800 Rs 50,000/- pa

Club with membership from 801 to 1500 Rs 75,000/- pa

Club with membership more than 1500 Rs 1,50,000/- pa L-19A License Fee

The license fee for L-19A license is fixed to Rs 5000/- p.a. irrespective of the numberof members of the club.

Rest of the procedure with regard to the grant of Licence is the same as indicated inrespect of L-3/L-5 Licence.


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The applicant is required to apply for the registration of an Eating House on theprescribed application form along with the following documents :-

Application Form

Document(s) to prove the legal occupancy of the Place of Eating House and incase of tenancy, NOC from land lord in the form of affidavit on stamp paper ofRs.10/- duly attested.

Site plan containing details of the size of the Eating House.Two postcard size photographs of the place showing its usage as an EatingHouse.

Proof of residence of the applicant like Election Card, Driving Licence & Passport

etc. An Affidavit on stamp paper of Rs.10/- duly attested

Fire NOC, if Seating Capacity of the Eating House is 50 or more. Undertaking with regard to proposed/existing facilities like music & Live

performance, dance floor, Bars &disco etc.

POLICE LICENSE


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Name & Address of the Industry

Distance from Fire Station

Availability of water for fire fighting e.g., Fire Hydrant and Static tank etc.

Is the industry of hazardous nature? Please indicate the Nature of material usedand stored

Site and Typical Floor plan indicating fire fighting arrangement and projects

Any other information which having relation with fire hazard and life rescue.

APPLICATION FOR NO OBJECTION CERTIFICATE

FROM FIRE DEPARTMENT


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Television License - Applicable to shows which involve usage of sound recordingse.g. Boogie Woogie on SET.

Telecom Related Licenses - For Ring Tones, Music Messaging, IVRS and otherTelecom value added services involving the usage of music.

Radio License - All Private and Government owned Radio Stations.

Internet License - This License is granted to websites for streaming of music, nodownloads allowed.

Events License - This Licensed is granted to organiser of events whereperformers perform on stage on recorded sound recordings e.g. Filmfare &Femina Awards.

Public Performance License - This is associated with any public performance. Itcovers whole range of activity from playing of music in cinema halls, hotels,restaurants etc.

OTHER LICENSESu..


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Subject to the Copyright Act of 1957, it is mandatory for all those who play Pre-recorded music in the form of Gramophone Records, Music cassettes or CDs inpublic places to take prior permission from the Copyright Society for SoundRecordings namely Phonographic Performance Limited (PPL).

As the registered copyright society in respect of Sound Recordings PPL has theauthority to administer the Broadcasting / Telecasting and Public PerformanceRights on behalf of a large number of important music companies in India whoare its members.

Consequently, any performance of Indian or International music from SoundRecordings of PPL members in Public Places or Commercial Establishments suchas Hotels, Restaurants, Cinema Halls, Discotheques etc, without first havingobtained a Licence from PPL, constitutes an Infringement of copyright underTheCopyright Act of 1957. Such violation of copyright is Cognizable & Non-bailableoffence, attracting heavy Penalties.

PHONOGRAPHIC & COPYRIGHT

LICENSES


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THANK YOU

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