What happens if ownership of a licensed premises changes?

• A. The license automatically transfers to the new owner
• B. A special temporary license is issued to the new owner
• C. The license can be transferred and a new notice is issued
• D. The license may require transfer approval or reissuance and notification to the issuing authority

Answer: (D)

Ownership changes trigger regulatory oversight because a license is issued to a specific person or entity and isn’t simply a tradable asset. When the ownership of a licensed premises changes, the license usually must be reviewed and approved by the issuing authority, and the license may need to be reissued in the new owner’s name. The new owner must typically undergo the transfer process, provide required information, and ensure the issuing authority is notified. This ensures the new owner meets all qualifications and agrees to the license terms. That’s why the best answer is that the license may require transfer approval or reissuance and notification to the issuing authority.