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ProServe Alberta: Licences, inspections and penalties

Class A, B, C and D licences, special event licences, posting the licence and the FASD poster, AGLC and police inspectors, the licensee's responsibility for staff, fines and other penalties.

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Licences, inspections and penalties · Question 1Score 0/0

What is the general maximum penalty for an individual convicted of an offence under the Act with no specific penalty?

Study reference: Alberta liquor law and AGLC policy (Oct 2026), Ch. 10 Licences, inspections and penalties — GLCR ss. 35 to 47, 62, 79; GLCA ss. 91, 98, 99, 116 to 121; Liquor Licensee Handbook s. 1.5, 3.1, 12.1 and 13.1

All 16 questions in this test

Every question and its answer choices. The correct answers and explanations appear when you take the test above.

  1. What is the general maximum penalty for an individual convicted of an offence under the Act with no specific penalty?

    1. A $10,000 fine, 6 months in jail, or both
    2. A $50,000 fine, 2 years in jail, or both
    3. A $1,000 fine, 30 days in jail, or both
    4. A $500 fine with no jail possible

  2. A ski hill lounge where entry requires a lift ticket is licensed under which class?

    1. Class A
    2. Class B
    3. Class C
    4. Class E

  3. What may an AGLC inspector prepare after seeing an alleged violation?

    1. A refund for patrons
    2. A criminal conviction
    3. A new liquor licence
    4. An Incident Report

  4. Which kind of business holds a Class D liquor licence?

    1. A retail liquor store selling for off-premises drinking
    2. A sports stadium with seat service
    3. A members-only curling club bar
    4. A brewery or distillery that makes its own products for sale to AGLC

  5. A bar owner sells his business and wants to hand his liquor licence to the buyer. What happens?

    1. A licence cannot be transferred; doing so cancels it
    2. The buyer may use it for one year
    3. The licence transfers if both sign a form
    4. The licence moves to the buyer automatically

  6. Staff learn that stolen liquor is being offered to the bar. What should they do?

    1. Contact the nearest AGLC office
    2. Wait to see if it happens again
    3. Buy it if the price is fair
    4. Tell only the other servers

  7. Which liquor licence covers premises open to any member of the public, such as a pub or restaurant?

    1. Class A
    2. Class B
    3. Class C
    4. Class D

  8. Which practice does AGLC give as an example of running a premises in a socially responsible way?

    1. A designated driver program for patrons
    2. Free shots for birthday guests
    3. Lower prices for the last hour of service
    4. A loyalty card that rewards heavy drinking

  9. A server sells liquor to a minor. When is the licensee also deemed to have broken the Act?

    1. Unless it proves it took all reasonable steps to prevent it
    2. Only if the server had no ProServe
    3. Only if the owner was in the room
    4. Never, because the server acted alone and broke the house policy

  10. Where must the liquor licence be displayed?

    1. At the AGLC office in St. Albert
    2. In the manager's locked office, available on request
    3. In a prominent place in the licensed premises
    4. Only on the bar's website

  11. Before giving information to an AGLC inspector, what may a licensee ask to see?

    1. A court order signed by a judge
    2. The inspector's home address
    3. A letter from the local mayor
    4. The inspector's photo identification

  12. Which AGLC poster must a Class A licensee display prominently?

    1. The Fetal Alcohol Spectrum Disorder (FASD) poster
    2. A poster of the owner's business licence
    3. A poster listing every drink brand stocked
    4. A poster showing the bar's VLT payouts

  13. A members-only veterans' club with a bar for members and guests usually holds which class of licence?

    1. Class D
    2. Class F
    3. Class C
    4. Class A

  14. What does the Act say about obstructing an inspector?

    1. No one may hinder, obstruct or impede an inspector
    2. It is allowed during peak hours
    3. It is allowed if the manager is absent and asks the inspector to wait
    4. It is allowed if the bar is closed

  15. A police officer walks into a bar to check on the premises. What is the officer's status under the Act?

    1. A visitor who needs an AGLC warrant
    2. An observer with no power to inspect
    3. An inspector, and staff must cooperate fully
    4. A guest who must wait for the manager

  16. Which action may the AGLC Board take against a licensee that fails to comply with the Act?

    1. Only order the bar to change its name
    2. Only require the owner to retake ProServe
    3. Impose conditions, a fine, a suspension or cancellation
    4. Only send a written warning letter, since fines are set by the courts

Licences, inspections and penalties: key rules to remember

Our summary of what the official handbook says on this topic, in our own words. Read it before or after the practice questions above, then check the original chapter. Read the official chapter ↗

ss. 35 to 47 and 62 Liquor licence classes

  • Class A: premises open to any member of the public; sale for drinking on and off the premises (hotel licences also cover room service and in-room bars).
  • Class B: drinking on premises only, where entry needs a ticket or user fee (recreational or tourist facilities, race tracks, stadiums, convention centres, theatres, public conveyances) or a business whose main purpose is not food or drink, in a class approved by the Board.
  • Class C: clubs, canteens, travellers' lounges and institutions where entry is limited to members, residents and their guests.
  • Class D: off-premises sales, including retail and general merchandise liquor stores, hotel general off sales, manufacturer's off sales and delivery service.
  • Class E: manufacturers. Class F: ferment-on-premises facilities.
  • Special event licences: public resale, private resale, private non-sale, hospitality, competition and industrial use.
  • s. 65: a special event licensee buys its liquor from a Class D licensee and removes leftover liquor within 48 hours after the licence expires.
  • s. 75: liquor licences run for one or two years. s. 76: a licence cannot be sold or transferred; doing so cancels it.

s. 79; Liquor Licensee Handbook 3.1 and 5.3 posting

  • The liquor licence, and any document the Board requires, must be posted in a prominent place in the premises.
  • Class A licensees must post AGLC's Fetal Alcohol Spectrum Disorder (FASD) poster in a prominent location.
  • Board policies are conditions of the licence, including policies changed after the licence is issued (Handbook 1.1; GLCA s. 61).

ss. 98 and 99; Liquor Licensee Handbook 12.1 Inspections

  • AGLC can designate inspectors, and every police officer is an inspector under the Act; staff must cooperate fully with police who enter the premises.
  • No one may hinder or obstruct an inspector.
  • AGLC inspectors carry photo ID, and a licensee may ask to see it before giving information.
  • Inspectors check compliance with the Act, regulation and Board policies, investigate complaints, audit records and can give staff training sessions.
  • An inspector who sees an alleged violation may prepare an Incident Report; the CEO or delegate may propose a penalty or send it to the Board, which may impose a penalty with or without a hearing (Handbook 13.1).

ss. 91, 116 to 121 Penalties and responsibility

  • The Board may warn a licensee, add conditions, impose a fine (up to $200,000 in general, or up to $1,000,000 for failing to comply with the Act and certain other laws), suspend or cancel a licence.
  • Breaking sections such as 70, 71, 74, 75, 75.1, 84, 87 or 89 is an offence. Unless a specific penalty applies, an individual faces a fine up to $10,000, up to 6 months in jail, or both; a corporation up to $50,000.
  • Adulteration or unlicensed sales: an individual faces up to $50,000 and/or 12 months; a corporation up to $100,000.
  • If an employee breaks the Act, the licensee is deemed to have broken it too, unless the licensee proves it took all reasonable steps to prevent it.

1.5 Licensee's responsibilities

  • Premises must be run in a socially responsible manner: trained staff, a high priority on safety, steps to reduce assaults, and care for intoxicated patrons getting home safely.
  • Licensees and staff with information about smuggled, stolen or homemade liquor for sale, untaxed tobacco or illegal gaming must contact AGLC.
  • Liquor service carries a risk of liability; questions about liability should go to a lawyer.
  • AGLC may ask a licensee or manager without enough English to understand the rules to have an interpreter during inspections and hearings (Handbook 1.1).

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