(a) Every application for a license to sell beer shall be made to the city administrator/clerk
or designee on a form supplied by the city and containing such information as the
city administrator/clerk or the council may require. It is unlawful to make any false
statement in an application.
(b) A liability insurance policy or other allowable proof of financial responsibility
or evidence that such a policy or proof is not required shall be filed with the city
administrator/clerk or designee prior to the time the actual on-sale or off-sale license
is issued. Such liability insurance policy shall be in an amount set by the city council,
subject to change with proper notice to affected business establishments before May
1 of any year, and shall specifically provide for the payment by the insurance company,
on behalf of the insured, all sums which the insured shall become obligated to pay
by reason of liability imposed upon him by law for injuries or damages to person other
than employees, including the liability imposed upon the insured by reason of Minn.
Stats. § 340A.801. Such liability insurance policy shall provide further that no cancellation
for any cause can be made either by the insured or the insurance company without first
giving ten days' notice to the city, in writing, of intention to cancel the same,
addressed to the city administrator/clerk or designee, which shall provide that no
payment of any claim by the insurance company shall in any manner decrease the coverage
provided for in respect to any other claim brought against the insured or company
thereafter. Such policy shall pay to the extent of the principal amount of the policy
any damages for death or injury caused by or resulting from the violation of any law
relating to the business for which such liquor license has been granted. The term
of the liability insurance policy shall be equal to or greater than the term of the
license.
