What penalties may occur for failing to comply with the Sale and Supply of Alcohol Act?

Study for the New Zealand License Controller Qualification Test. Study with flashcards and multiple choice questions, each question has hints and explanations. Get ready for your exam!

Failure to comply with the Sale and Supply of Alcohol Act can lead to significant penalties designed to ensure adherence to responsible liquor laws. Monetary fines serve as a direct financial consequence for violations, aiming to deter establishments from breaching the regulations. Additionally, license suspension is a serious repercussion, meaning that a business may temporarily lose the privilege to sell alcohol, impacting its operations and revenue. In more severe cases, closure of the establishment can occur, effectively putting an end to business activities until compliance is achieved. This tiered approach to penalties underscores the importance of maintaining legal standards regarding alcohol sales and promoting responsible drinking behavior within the community.

The other options do not align with the actual consequences laid out in the law, as verbal warnings are generally not the sole outcome of such violations, while increased marketing opportunities and mandatory community service do not reflect the nature of penalties outlined in the Sale and Supply of Alcohol Act.

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