What Are the Reasons a Person Could Lose Their Liquor License Legally in Indiana?

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Liquor sellers in the state of Indiana need to be aware of many infractions that can potentially result in the loss of their license. For example, it's illegal to sell liquor to intoxicated patrons even if they have a designated driver. Avoiding such infractions will ensure that you don't lose your liquor license.

Alcohol cannot be sold to intoxicated people

Indiana law prohibits the sale of alcoholic beverages to anybody you believe to be intoxicated, even if they have a designated driver. In addition to potentially losing your liquor license, you can face a fine of up to $1,000.

Time restrictions

Generally, alcohol can be legally dispensed between 7 a.m. and 3 a.m., Monday to Sunday. However, bartenders may allow patrons a half-hour to finish drinks dispensed before the close of business. Alcohol cannot be sold on Christmas Day or while voting polls are open.


Individuals under the age of 18 are not permitted in bars unless they are accompanied by their parents (or legal guardians), or are employees.

Employee training

Each employee must attend a certified server training program within 120 days of starting work. All 19- and 20-year-old employees must attend an approved server training prior to applying for a restricted permit.

Employee age

Usually, employees must be at least 21-years-old to dispense alcohol. However, in some cases exceptions may be made, particularly if your place of business is family-operated.

Special restrictions

Each type of alcohol permit comes with its own special restrictions. For example, licenses for gaming sites allow only for the distribution of alcohol during authorized gambling operations. To sell alcohol during an event not related to authorized gambling operations, prior written approval must be obtained from the Alcohol & Tobacco Commission. This approval must be obtained at least 15 days prior to the event or activity.


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