What is a Michigan One Day Liquor Bond – Special License for Sale and Consumption?
The Michigan Department of Licensing and Regulatory Affairs (LARA), Liquor Control Commission (MLCC) requires a surety bond for special licenses for the sale of beer, wine, and spirits for consumption on the premises as authorized by Michigan Liquor Control Code Act 58 of 1998 436.1801 (1)(b).
The One Day Liquor Bond covers:
- manufacturers of beer
- manufacturers of wine
- mixed spirit drink manufacturers
- outstate sellers of beer
- outstate sellers of a mixed spirit drink
- outstate sellers of wine
The bond guarantees the faithful performance of the conditions of the license issued and for compliance with the Michigan Liquor Control Code.
The bond also serves as an exclusive remedy for financial damages against a licensee arising out of the selling, giving, or furnishing of alcoholic liquor to a minor or intoxicated person.
A surety bond for a special license authorizing the sale of beer, mixed spirit drink, wine, or spirits for consumption on a church or school is not required.
What are the bond conditions?
- The Surety must be approved and authorized to transact a bonding business in the State of Michigan.
- The Principal must perform all applicable terms and conditions of the contract of license imposed by the Michigan Liquor Control Code of 1998.
- The Principal must pay all fines, costs, and penalties that may be imposed upon him or her for violations of the rules and provisions governing the license.
- The Principal will not directly or indirectly sell, furnish, give or deliver any alcoholic liquor to a minor nor any person(s) who is visibly intoxicated.
- If the Principal follows all terms and conditions as agreed, the obligation will be considered void; otherwise, it will remain in full force and effect.
- The bond will remain continuous until 60 days after the date of receipt by the Michigan Liquor Control Commission at Lansing of the expired license, which may terminate the bond.
What is the bond amount?
The bond amount is equal to 1/12 of the total beer, mixed spirit drink, or wine excise taxes paid to the state in the last calendar year or the sum of $1,000.
The cost of the bond is a percentage of the bond amount. It covers 1%-5% of the bond amount.
How do I obtain a One Day Liquor Bond?
You can easily get this surety bond from us! We will guide you through the entire process. We’ll make sure that you will understand what you are getting into.
Here’s how to do get bonded:
- You have to send an application to us. If you are ready to do that now, you may APPLY HERE!
- After we have received your application, we will ask you to submit the necessary information needed for the underwriting process. This includes your credit score.
An expert underwriter will carefully evaluate your credit information to attain the best credit decision possible. To avoid any delay, the information that you should submit should be organized and concise.
3. Your surety bond will be issued and sent to you!