Stroh

Petitioner, McFaddin San Diego 1130, Inc., doing business as Confetti (Confetti), seeks a writ of review after the Alcoholic Beverage Control Appeals Board (the Board) upheld the Department of Alcoholic Beverage Control’s (the Department) suspension of its liquor license under Business and Professions Code section 24200, subdivision (a). The Department in its charging accusation alleged Confetti permitted or suffered its premises to be used in a manner which created conditions contrary to the public welfare and morals through permitting specified cocaine sales. Thus we can affirm the Department’s decision only if the facts support a determination Confetti “permitted or suffered” the drug transactions to be carried out on its premises. As more fully discussed below, the facts as found by the Department (i.e., Confetti did not know of the drug transactions and further had taken extensive preventive measures) do not support such a determination. Accordingly, we grant the petition.

Factual and Procedural Background

Confetti is a large (7,500 square feet), popular San Diego disco which serves an average of 650 patrons nightly. On weekends there are as many as 1,500 patrons…