Premises Licence Review Applications - Landlords and Multi-operators beware

October 2006

Whether intentionally or unintentionally, the Licensing Act 2003 does not allow interested parties (for example the operating company or the freeholder of the premises) to appeal from a decision of a Local Authority following the review of a licence unless they were a party to the review hearing.

This is of particular concern when a licence is revoked. The owner of the premises may be left with an unlicensed building, and no right to appeal the decision. An application would have to be made for a new licence (and likely to receive representations), causing delay and lost revenue.

Under the old regime, it was possible for a “person aggrieved” to appeal a decision (for example) to revoke the licence. Where a licence held by a tenant was revoked, the landlord or freeholder was able to step in and lodge the appropriate appeal in its own name and take steps to protect the licence.

Under the new regime there would appear to be no such entitlement. Where there is a review of a licence the only persons entitled to appeal any decision are:

• The applicant for review (for example the Police, neighbours or other responsible authority)
• The holder of the premises licence
• Any other person who made relevant representations in relation to the application.

In any review application where the holder of the premises licence is not either the freeholder or landlord of the building, or there are other un named individuals involved in the business those persons should ensure that within 28 days from the commencement of the review application they make a representation in their own name so as to ensure that they have some status in the review hearing and any potential appeal that arises.

It is not uncommon for there to be a souring of relations between tenants and landlords as a result of the review application, and evidence coming to light as part of this process. The tenant may therefore not wish to appeal.

The outcome of any review does not take effect for 21 days from delivery of the notice of determination to the appropriate parties or until determination of any appeal lodged within that period. The time for appeal is strictly 21 days from formal notification of the review decision. We strongly recommend that you consult your legal adviser without delay in any case where a review application is made.

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