A. The holder of any license issued under the Liquor Control Act [60-3A-1 NMSA 1978] or any former act has no vested property right in the license, which is the property of the state; provided that retailer's licenses, dispenser's licenses and canopy licenses that were replaced by dispenser's licenses pursuant to Section 60-6B-16 NMSA 1978:

(1) shall be considered property subject to execution, attachment, a security transaction, liens, receivership and all other incidents of tangible personal property under the laws of this state, except as otherwise provided in the Liquor Control Act;

(2) may be assigned, transferred from person to person or leased, provided all requirements of the Liquor Control Act and department regulations are fulfilled; and

(3) shall be transferred as personal property upon attachment, execution, repossession by a secured party or lienor, foreclosure by a creditor, appointment of a receiver for the licensee, death of the licensee, filing of a petition of bankruptcy by or for the licensee, incapacity of the licensee or dissolution of the licensee. The director may by rule or regulation determine any application or notice requirement for a person who temporarily holds a license pursuant to this subsection.

B. Any license issued under the Liquor Control Act [60-3A-1 NMSA 1978] may be transferred to any location not otherwise contrary to law within the same local option district where the license is then located, provided all requirements of the Liquor Control Act and department regulations are fulfilled.

History: Laws 1981, ch. 39, § 36; 1991, ch. 257, § 1.

The 1991 amendment, effective June 14, 1991, designated the previously undesignated provisions as Subsection A and Paragraph (1) thereof; in Subsection A, substituted "provided that retailer's licenses, dispenser's licenses and canopy licenses that were replaced by dispenser's licenses pursuant to Section 60-6B-16 NMSA 1978" for "provided that until June 30, 1991 licenses issued prior to the effective date of the Liquor Control Act" at the end of the introductory paragraph and added Paragraphs (2) and (3); and added Subsection B.

Constitutionality. — This section is constitutional. It does not take existing property interests without due process and it does not unreasonably deprive the owner of a liquor license of all or substantially all of the beneficial use of his license. Chronis v. State ex rel. Rodriguez, 1983-NMSC-081, 100 N.M. 342, 670 P.2d 953.

A liquor license is a privilege subject to regulation and not a property right. Chronis v. State ex rel. Rodriguez, 1983-NMSC-081, 100 N.M. 342, 670 P.2d 953.

Am. Jur. 2d, A.L.R. and C.J.S. references. — Liquor license as subject to execution or attachment, 40 A.L.R.4th 927.

Security interests in liquor licenses, 56 A.L.R.4th 1131.