Lawmakers unhappy with landlords’ right to veto tenant business

Lawmakers of the Second Standing Committee of the Legislative Assembly (AL) are unhappy with one of the provisions in the new Hotel Business Law. It states that to request a temporary license, tenants need a declaration from the landlord that authorizes the operation.
According to the chairman of the committee, Chan Chak Mo, committee members are calling on the government to reevaluate the need for the declaration, as it seems like the provision gives landlords the power to veto tenants’ business operations.
Article 31 of the law says that license applicants can now request a temporary license to start operating restaurants, bars, coffee shops, and dancing rooms even before being inspected by the Macao Government Tourism Office (MGTO), as long as the project and blueprints have been already approved and fire safety regulations are being fulfilled.
“In the opinion of the committee, the proof of a rental contract [between the tenant and landlord] should be enough [to grant the right to request a temporary operation license],” said Chan. “But we are questioning the government on why [the law states] that a declaration from the owner authorizing the operation of the establishment is needed.”
Chan added that in the cases where the venue is a hotel, the hotel owner also needs to authorize the shop to open without the inspection.
According to the chairman of the committee, this topic was accountable for most of the debate at yesterday’s meeting.
As Chan said at a previous briefing, the new system established by the new law aims to cut down on the amount of bureaucracy and procedures for business owners. This also includes the possibility of obtaining temporary licenses before and after inspections by the authorities. These temporary licenses would last for six months and be renewable for further six-month periods.
Questioned by the media on how much time applicants would be able to save using the new system, Chan said, “currently we are taking over two years to issue a final license. In the future and with this one-stop system, we will do this much faster. This new law would be a great improvement.”
“For example, in the case of the food and beverage establishment located at a hotel that has already its license, I would say that [a final license could take] about six months to be issued,” he added.