How long can a new licensee trade on the previous owner's license after acquiring a premise?

How long can a new licensee trade on the previous owner's license after acquiring a premise?

• A. Up to 1 month
• B. Up to 6 months
• C. Up to 3 months
• D. Indefinitely until a new license is issued

Answer: (C)

A new licensee can trade on the previous owner's license for a maximum period of three months after acquiring the premises. This provision is designed to provide a transitional period during which the new licensee can continue operations while they process their application for a new license. It ensures that the business can remain functional and that there is minimal disruption to service for customers while administrative tasks are completed. This three-month timeframe also sets clear legal boundaries for the new licensee, encouraging them to expedite their licensing process and comply with the legal requirements for operating a licensed premise in New Zealand. After this period, the licensee must obtain their own license to continue trading legally.

A new licensee can trade on the previous owner's license for a maximum period of three months after acquiring the premises. This provision is designed to provide a transitional period during which the new licensee can continue operations while they process their application for a new license. It ensures that the business can remain functional and that there is minimal disruption to service for customers while administrative tasks are completed.

This three-month timeframe also sets clear legal boundaries for the new licensee, encouraging them to expedite their licensing process and comply with the legal requirements for operating a licensed premise in New Zealand. After this period, the licensee must obtain their own license to continue trading legally.