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    Home » Private Club: Permission To Serve Alcoholic Beverages

    Private Club: Permission To Serve Alcoholic Beverages

    datanfactBy datanfactAugust 24, 2022Updated:September 5, 2022 Travel No Comments3 Mins Read
    Alcoholic Beverages
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    Alcoholic beverages in the private club cannot be served to club members or offered to them if the club does not have TABC authorization.

    In order to get advice about the viability of applying for a private club permit, reviewing and drafting legal documents, maintaining compliance, and the availability of other alternatives, it is crucial to speak with a liquor attorney with experience with the TABC. This is true whether you decide to apply for a private club on your own or through a licensing agency.

    Act Related To Private Club

    A private club permit from the Liquor Control Board, later known as the Texas Alcoholic Beverage Commission or simply “TABC,” was required for associations to be exempt from the general ban on the “sale” of alcoholic beverages containing distilled spirits for on-premise consumption under the Private Club Act, which was passed in 1961.

    The Texas State Constitution and Liquor Control Act forbade the operation of bars, lounges, and taverns, together known as “open saloons,” prior to the passage of the private club legislation.

    According to the Private Club Act, serving alcohol to a member of a private club with a TABC private club permit for a service charge or fee does not constitute the “sale” of alcoholic drinks under the Texas Alcoholic Beverage Code or the State Constitution. Alcohol is a commodity that club members own collectively. 

    All About Pool System

    There is a pool system that members need to pay a fee or any service fee, that is used for the funding to purchase alcohol for the use and enjoyment of all private club members. Although this may seem relatively straightforward in theory, there are intricate rules and laws governing the membership and pool system that must be followed.

    Despite the aforementioned, at the time of this blog entry, more than a thousand private club permits were still in effect. Some of the licenses have been in effect since private club licenses were first made possible in September 1961.

    The ability to serve mixed drinks at a restaurant that is situated in a dry area and running an exclusive club that restricts membership through invitations, stringent eligibility requirements and membership fees are the two most frequent justifications for obtaining a private club permit, though there may be other factors involved as well.

    Permits For The Private Club

    Despite the aforementioned, at the time of this blog entry, more than a thousand private club permits were still in effect. Some of the licenses have been in effect since private club licenses were first made possible in September 1961.

    The ability to serve mixed drinks at a restaurant that is situated in a dry area and running an exclusive club that restricts membership through invitations, stringent eligibility requirements and membership fees are the two most frequent justifications for obtaining a private club permit, though there may be other factors involved as well.

    Alcoholic Beverages Private Club
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