27 February 2020

Liquor Licensing: Woolworths v. Liquor Licensing Authority

Licensing Authority attempts to stop liquor sales by Auckland supermarkets after 9.00 pm were struck down in the High Court.  Unquestioning adoption of Auckland City proposals meant the Authority had legally made no decision at all.
In October 2017, Auckland City set in train the legal process for limiting liquor trading hours.  Owners of the Woolworths, Supervalue, Fresh Choice, New World, Pak ‘n Save and Four Square brands objected strongly to proposals prohibiting liquor sales after 9.00 pm. 
Auckland City, together with health sector representatives, gave evidence of direct and indirect costs arising from excessive alcohol consumption.  In 2016, fifteen per cent of hospital presentations in Auckland were alcohol related, compared with eight per cent nationally, the High Court was told.
The Alcohol Regulatory and Licensing Authority endorsed Auckland City’s proposals, adopting the ‘precautionary principle.’  Developed in environmental law, the precautionary principle states that a lack of certainty about the threat of harm is no justification for not acting to reduce that harm.  The Licensing Authority misapplied this principle when it simply accepted what Auckland City thinks will best resolve the social costs of alcohol consumption, Justice Duffy ruled.  The Licensing Authority should have looked at the strength of the available evidence and made its own assessment.  In particular, it did not explain why proposed restrictions should treat supermarkets the same as other off-licence outlets.
The Authority’s decision was struck down for failing to provide reasons in support.  Auckland City proposals were referred back to the Authority for renewed consideration.
Woolworths v. Alcohol Regulatory and Licensing Authority – High Court (27.02.20)
20.037