Virginia Law

A. 1. Except for temporary retail tobacco permits issued pursuant to § 4.1-252, before the Board may impose a civil penalty or suspend or revoke any retail tobacco permit, reasonable notice of such proposed or contemplated action shall be given to the retail tobacco permittee in accordance with the provisions of § 2.2-4020.

2. Notwithstanding the provisions of § 2.2-4022, the Board shall, upon written request by the retail tobacco permittee, permit the retail tobacco permittee to inspect and copy or photograph all (i) written or recorded statements made by the retail tobacco permittee or copies thereof or the substance of any oral statements made by the retail tobacco permittee or a previous or present employee of the retail tobacco permittee to any law-enforcement officer, the existence of which is known by the Board and upon which the Board intends to rely as evidence in any adversarial proceeding under this chapter against the retail tobacco permittee and (ii) designated books, papers, documents, tangible objects, buildings, or places, or copies or portions thereof, that are within the possession, custody, or control of the Board and upon which the Board intends to rely as evidence in any adversarial proceeding under this chapter against the retail tobacco permittee. In addition, any subpoena for the production of documents issued to any person at the request of the retail tobacco permittee or the Board pursuant to § 4.1-103 shall provide for the production of the documents sought within 10 working days, notwithstanding anything to the contrary in § 4.1-103.

3. If the Board fails to provide for inspection or copying under this section for the retail tobacco permittee after a written request, the Board shall be prohibited from introducing into evidence any items the retail tobacco permittee would have lawfully been entitled to inspect or copy under this section.

4. The action of the Board in suspending or revoking any retail tobacco permit or in imposing a civil penalty shall be subject to judicial review in accordance with the Administrative Process Act (§ 2.2-4000 et seq.). Such review shall extend to the entire evidential record of the proceedings provided by the Board in accordance with the Administrative Process Act. An appeal shall lie to the Court of Appeals from any order of the court. Notwithstanding § 8.01-676.1, the final judgment or order of the circuit court shall not be suspended, stayed, or modified by such circuit court pending appeal to the Court of Appeals. Neither mandamus nor injunction shall lie in any such case.

B. In suspending any retail tobacco permit, the Board may impose, as a condition precedent to the removal of such suspension or any portion thereof, a requirement that the retail tobacco permittee pay the cost incurred by the Board in investigating the retail tobacco permittee and in holding the proceeding resulting in such suspension, or it may impose and collect such civil penalties as it deems appropriate. In no event shall the Board impose a civil penalty exceeding $2,000 for the first violation occurring within the five years immediately preceding the date of the violation or $5,000 for the second violation occurring within the five years immediately preceding the date of the second violation. However, if the violation involved selling retail tobacco products to a person prohibited from purchasing such retail tobacco products, the Board may impose a civil penalty not to exceed $3,000 for the first violation occurring within the five years immediately preceding the date of the violation and $6,000 for a second violation occurring within the five years immediately preceding the date of the second violation in lieu of such suspension or any portion thereof, or both. The Board may also impose a requirement that the retail tobacco permittee pay for the cost incurred by the Board, not to exceed $25,000, in investigating the retail tobacco permittee and in holding the proceeding resulting in the violation in addition to any suspension or civil penalty incurred.

C. Following notice to (i) the retail tobacco permittee of a hearing that may result in the suspension or revocation of the retail tobacco permit or (ii) the applicant of a hearing to resolve a contested application, the Board may accept a consent agreement as authorized in subdivision 21 of § 4.1-103. The notice shall advise the retail tobacco permittee or applicant of the option to (a) admit the alleged violation or the validity of the objection; (b) waive any right to a hearing or an appeal under the Administrative Process Act; and (c) (1) accept the proposed restrictions for operating under the retail tobacco permit, (2) accept the period of suspension of the permitted privileges within the Board's parameters, (3) pay a civil penalty in lieu of the period of suspension or any portion of the suspension as applicable, or (4) proceed to a hearing.

D. The Board may, by regulation or written order:

1. Designate those (i) objections to an application or (ii) alleged violations that will proceed to an initial hearing;

2. Designate the violations for which a waiver of a hearing and payment of a civil charge in lieu of suspension may be accepted for a first offense occurring within three years immediately preceding the date of the violation;

3. Establish a schedule of penalties for such offenses that prescribes the appropriate suspension of a retail tobacco permit and the civil charge acceptable in lieu of such suspension; and

4. Establish a schedule of offenses for which any penalty may be waived upon a showing that the retail tobacco permittee has had no prior violations within five years immediately preceding the date of the violation. No waiver shall be granted by the Board, however, for a retail tobacco permittee's willful and knowing violation of this article or Board regulations.

E. Notwithstanding any provisions to the contrary in this section or in Article 3 (§ 2.2-4018 et seq.) of the Administrative Process Act, retail tobacco permittees shall be subject to the provisions of § 4.1-225.1.

2026, cc. 1021, 1044.