§ 20-202 License.
AC § 20-202
a. License required of retail dealers.
1.It shall be unlawful for any person to engage in business as a retail dealer without first having obtained a license as hereinafter prescribed for each place of business wherein such person sells cigarettes or tobacco products in the city.
2.It shall be unlawful for a person to permit any premises under such person's control to be used by any other person in violation of paragraph 1 of subdivision a of this section.
3.It shall be unlawful for a pharmacy to obtain a license to engage in business as a retail dealer. b. License application. In order to obtain a license to engage in business as a retail dealer, a person shall file an application with the commissioner for a license for each place of business that he or she desires to have for the retail sale of cigarettes or tobacco products in the city. The application for each license or renewal thereof shall be made upon such form as prescribed by the commissioner and shall contain such information as the commissioner shall require. c. Fee and license term.
4.For purposes of revocation of retail dealer licenses pursuant to section 17-710, any violation of section 17-703, section 17-703.2, subdivision a of 17-704, subdivision a of section 17-704.1, section 17-705 or subdivision a or b of section 17-706, or, for purposes of suspension of retail dealer licenses pursuant to section 17-716, any violation of section 17-715, by any license holder at a place of business shall be included in determining the number of violations by any subsequent license holder at the same place of business unless the subsequent license holder provides the commissioner with adequate documentation demonstrating that the subsequent license holder acquired the premises or business through an arm's length transaction and that the sale or lease was not conducted, in whole or in part, for the purpose of permitting the original licensee to avoid the effect of violations on the premises and that the subsequent license holder neither: (A) shared in the ownership, or otherwise exercised control over the management, of the original licensee; nor (B) employs any person who shared in the ownership, or otherwise exercised control over the management, of the original licensee.
5.For purposes of paragraphs 3 and 4 of this subdivision, "arm's length transaction" means a sale of a fee or all undivided interests in real property, or lease of any part thereof, or a sale of a business, in good faith and for valuable consideration, that reflects the fair market value of such real property or lease, or business, in the open market, between two informed and willing parties, where neither is under any compulsion to participate in the transaction, unaffected by any unusual conditions indicating a reasonable possibility that the sale or lease was made for the purpose of permitting the original licensee to avoid the effect of violations on the premises. The following sales or leases shall be presumed not to be arm's length transactions unless adequate documentation is provided demonstrating that the sale or lease was not conducted, in whole or in part, for the purpose of permitting the original licensee to avoid the effect of violations on the premises: (1) a sale between relatives; or (2) a sale between related companies or partners in a business; or (3) a sale or lease affected by other facts or circumstances that would indicate that the sale or lease is entered into for the primary purpose of permitting the original licensee to avoid the effect of violations on the premises, or revocation of a license, such as a sale or lease entered into while there are violations pending against the original licensee that could result in revocation or suspension of the license. e. Community district retail dealer cap.
