THE BOARD OF LIQUOR LICENSE COMMISSIONERS FOR BALTIMORE CITY v. STEVEN KOUGL
Court of Appeals, Adkins, Feb. 17, 2017,
Liquor Board- Baltimore City’s liquor board rules prohibiting indecent exposure and solicitation of prostitution are strict liability offenses not requiring the owner’s knowledge

In April 2013, an undercover detective in BPD’s vice unit conducted an investigation at Club Harem (“the Club”), an adult entertainment establishment owned by Respondent Steven Kougl. During his investigation, one of the Club’s employees agreed to sex for money but then went on stage to perform without following through. 15 months later, the liquor board charged the club owner for allowing it and suspended his liquor license for 30 days.

Agency interpretation of its own regulations should be given deference, ““[e]ven with regard to some legal issues.”

Dawkins factors from Dawkins v. State, 313 Md. 638 (1988):
“public welfare offenses” often have the following characteristics: (1) they are “regulatory in nature”; (2) they involve light fines or penalties; and (3) “regardless of the defendant’s state of mind, the defendant is generally in a position to prevent the violation from occurring.”

However, Dawkins factors don’t apply in a civil case where there is no presumption against strict liability.