Last year Utah started allowing club licenses to be purchased directly from existing license holders, rather than waiting for one to become available through the Department of Alcoholic Beverage Control.

Silver Restaurant, located at 508 Main Street, closed for business in May when its building was sold to a new owner. Silver decided to look for a buyer for its license and asked for extension of its license. They found a buyer: Falcon PC Main Street LLC, which was also working out a lease for the space at 508 Main St. formerly occupied by Silver.

Falcon PC Main Street LLC is peripherally related to St. Regis Deer Valley, though they have no direct relationship. "Some of the financial backers for the St. Regis are also some of the financial backers for the restaurant," explained Thomas Bennett, an attorney at Ballard Spahr who is representing Falcon PC Main Street.

DABC employees and commissioners pushed back on Silver's request for more time at the August 25th meeting.

"Yes, licenses are allowed to be transferred, however there [are] also operational restrictions that are throughout the entire statute," said DABC Director of Compliance Nina McDermott. "I think it's very clear that these licenses need to be used. We have 13 applications for club applicants, about six of those are already operational and could use that license today. It's very concerning to the department. How long can a person hold onto a license to be able to broker it or to sell it is really what's concerning the department. There needs to be some sort of limit."

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