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Glover Law is a boutique law firm that helps businesses and individuals navigate complex corporate and government affairs matters. The firm works with members of the hospitality industry on issues relating to state licenses, alcohol beverage sales, and potential franchise agreements.

Spotlight: Quota License Operational Requirements

Florida’s regulatory structure dictates that quota liquor licenses are not intended to remain unused for long periods of time, with the statutes laying out stringent operating requirements and a harsh penalty (revocation).

Compliance with these requirements is mission critical, as failure could lead to revocation of the license. The reason for this policy is clear - the Florida Statutes establish that quota licenses are intended to be operated in a manner that maximize sales and tax revenue. 

Use it or lose it.
— The Florida Statutes

For licenses issued after September 30, 1988, to comply with active operating requirements, the licensed premises must be open for business during regular business hours for at least 8 hours a day for a period of 210 days or more during any 12-month period, commencing 6 months after the acquisition of the license by the licensee.

After issuance of a quota license, licensees receive a 6-month grace period from the Division before the clock starts on the 120-day requirement. If you know that your licensed premises will not be able to meet the operating requirements, you may have options. Each licensee is entitled to a one-time written waiver or extension of the 210-day operating requirements for up to 12 months. To receive the waiver, the licensee must show that:

  • the licensed premises has been physically damaged to a point where active operation of the business is impracticable

  • construction or remodeling is underway to relocate the license to another location; or

  • the licensed premises has been prohibited from making sales as the result of a court order or any action or inaction of a government entity related to the permitting, construction, or occupational capacity of the licensed premises.

Licensees may request inactive status or waiver of active operation requirements for a quota licensee with Form ABT-6027 and a $35 processing fee.