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California Frequently Asked Questions

May a licensee pay a fine in lieu of serving a license suspension?

Yes. If the ordered period of the suspension does not exceed 15 days and ABC finds that public welfare and morals would not be impaired by the substitution of a fine for the actual suspension of the licensed business, the retail licensee may pay a sum of money equal to 50% of the estimated gross receipts from the sale of alcoholic beverages during the period of suspension. Such offer in compromise shall not be less than $1,500 nor more than $6,000 except that the limits are $75 - $3,000 when no accusation filed against a retail licensee has resulted in a final decision within the prior 3 years. For non-retailers the formula is more complex-refer to Section 23095. (Section 23095) No Petition for an Offer in Compromise shall be granted for a second or subsequent violation of Section 25602 (sales of alcoholic beverages to obviously intoxicated persons) which occurs within 36 months of the initial violation. (Section 25602.3) All monies collected as a result of penalties imposed under this subdivision shall be paid to the General Fund by the Alcohol Beverage Control Fund.