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Mississippi State Tax Commission ex rel. Marx v. Veazey

Citations: 624 So. 2d 997; 1993 Miss. LEXIS 429; 1993 WL 382347Docket: No. 91-CC-0194

Court: Mississippi Supreme Court; September 30, 1993; Mississippi; State Supreme Court

Narrative Opinion Summary

The case involves a dispute over the suspension of a package store permit held by John G. Veazey, Jr., after an employee sold alcohol to a prohibited purchaser, violating Miss. Code Ann. Section 67-1-83(2). Veazey challenged the Mississippi State Tax Commission's decision, arguing the statute’s unconstitutionality in the Hinds County Chancery Court, which ruled in his favor. The Commission appealed, focusing on Veazey's lack of standing to contest the statute’s constitutionality. The appellate court reversed the lower court’s decision, emphasizing that Veazey, as a permit holder, could not assert Mr. R.'s due process rights. The court highlighted that Mr. R. was duly notified of the prohibition with an opportunity to appeal, satisfying procedural due process requirements. Veazey's claim of insufficient notification was rejected, as evidence showed he had received adequate notice of the prohibition against selling to Mr. R. Consequently, the suspension of Veazey's store permit was reinstated, reflecting the court's adherence to statutory notification and standing principles. The ruling underscores the necessity for direct impact on litigants challenging statutory constitutionality and affirms the procedural rigor required in regulatory enforcement actions.

Legal Issues Addressed

Enforcement of Alcohol Sales Regulations

Application: The Commission enforced the suspension of Veazey's package store permit after determining a violation of Miss. Code Ann. Section 67-1-83(2), despite Veazey's constitutional challenge.

Reasoning: The Mississippi State Tax Commission suspended John G. Veazey, Jr.'s package store permit after determining that an employee sold liquor to a prohibited purchaser, violating Miss. Code Ann. Section 67-1-83(2).

Notification Requirements for Permittee Violations

Application: Veazey was notified of the prohibition against sales to Mr. R., fulfilling the statutory requirement that a permittee is only in violation if formally notified.

Reasoning: Veazey is unable to claim ignorance regarding the prohibition of alcohol sales to Mr. R. The court determines that Veazey does not have standing to challenge the constitutionality of Section 67-1-83(2).

Procedural Due Process in Alcohol Sales Prohibition

Application: The Commission provided Mr. R. with notice of the prohibition and an opportunity to appeal, satisfying due process requirements, unlike the Wisconsin case cited by Veazey.

Reasoning: Unlike a Wisconsin case lacking notice for the prohibited purchaser, the Commission provided Mr. R. with notice and a chance to contest the sale denial, allowing a 15-day appeal period.

Standing to Challenge Constitutionality

Application: The court ruled that Veazey did not have standing to challenge the statute's constitutionality, as the right to due process belonged to Mr. R., the prohibited purchaser, and not Veazey.

Reasoning: The Commission contended that Veazey lacked standing to challenge the statute, arguing that the right to due process belonged to Mr. R. and not Veazey.