Compliance support for convenience and grocery stores

Learn more about your compliance obligations as a Convenience and Grocery store licensee

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Registrar's Standards

The Standards help ensure you are selling alcohol responsibly.

General compliance

There are general obligations that all liquor licensees must follow. The compliance obligations below are in addition to these.

Contact us

Need help? Contact us now by email or telephone.

Overview and guidance documents

This page highlights some of the most important requirements that will help you and your staff sell alcohol responsibly.  

As a licensed grocery or convenience store, you are responsible for complying with all applicable laws, regulations and standards. Refer to the full list on our Standards, Acts and Regulations page.  

The following guides are available to help you understand your responsibilities: 

Note: these documents may be updated periodically to reflect changes in applicable laws. To ensure you have the most current information, refer to the Standards, regulations and legislation and revisit this page for updates. 

Ensure your staff are ready

By law, you cannot start selling alcohol before the applicable selling dates. You must also ensure that you have received your licence, purchased your products through the LCBO online ordering portal for wholesale retailers, that your staff are trained and that you’ve prepared your store.

Earliest selling dates: Please note that new licensees are not permitted to start selling alcohol until:

  • September 5, 2024 for new convenience store licences. 
  • October 31, 2024 for new grocery store licences. 

Be sure to factor these dates into your plans! 

You must ensure that any individual who sells, offers for sale, delivers, or handles liquor or provides samples (grocery only) of liquor is at least 18 years of age. These staff members must hold a valid certificate demonstrating the successful completion of a training course approved by the AGCO’s Board.

For a full list of training programs and to learn more about your training requirements, visit the Responsible liquor sale, service and delivery training page.  
 

Selling responsibly

Do not sell alcohol to minors  

The legal drinking age in the province of Ontario is 19 years of age. You may not sell alcohol to people who are under 19 years of age. By law, you are required to check a person’s ID if they appear to be under the legal drinking age.  

Here are some important tips for checking IDs:  

  • Carefully examine the ID. Check the photo and compare it to the person standing in front of you.  
  • Check the birth date, and expiry date. 

Read this page on checking ID for information on valid IDs and tips on how to spot a fake ID.

Selling alcohol to a minor could result in a monetary penalty of up to $100,000 or the suspension or revocation of your licence. Learn more about monetary penalties for non-compliance. 

Do not sell alcohol to intoxicated customers 

You may not sell alcohol to a person who is, or appears to be, intoxicated. A customer exhibiting signs of intoxication must be refused the sale of alcohol. Learn more about recognizing the signs of intoxication.  

Selling alcohol to an intoxicated person could result in a monetary penalty of up to $50,000 or the suspension or revocation of your licence.  

Hours of sale 

You may sell or allow for in-store or curbside pickup of alcohol only between 7:00 a.m. to 11:00 p.m., seven days a week (including holidays, if your store is permitted to be open). However, deliveries of alcohol are only permitted between 9:00 a.m. and 11:00 p.m. You may only sell, allow in-store and curbside pickup, and perform deliveries within these hours, even if your store is open for longer (e.g. 24 hours).  

The AGCO may place conditions on some licences that further limit the hours during which alcohol may be sold. 

Selling, allowing for pickup or delivery of alcohol outside these hours could result in a monetary penalty up to $50,000 or the suspension or revocation of your licence. 

Set up your store and operate responsibly

Here are some important steps you will take to prepare your store and staff, and to sell alcohol responsibly.  

Post your licence and Sandy’s Law poster  

You must post your AGCO liquor retailer licence and the Sandy’s Law poster in a place that is visible to customers. Learn more about the Sandy’s Law signage requirement.  

When you work with the LCBO, they will support you in fulfilling your recycling signage requirement.

Keep clear records of purchases and sales

Keep the following records and make them available upon request by AGCO inspectors: 
 

Icon
Product purchases

Wholesale purchase of liquor from LCBO

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Customer sales

Sales from in-store, online, and delivery/curbside (this could include sales invoices, cash register tapes, or receipts)

Read the Registrar’s Standards for Grocery Store and Convenience Store Licensees to learn more about your record keeping requirements.

Buy alcohol wholesale through the LCBO 

You will need to work with the LCBO to arrange for the purchase of liquor products that you sell under your licence. When we issue a new licence, we notify the LCBO and share your contact information with them. The LCBO will reach out to you to guide you through the process of ordering products.  

Wholesale products only  

You are only permitted to sell beverage alcohol products in your store that have been purchased through your business account with the LCBO. You cannot buy alcohol from an LCBO retail location and sell it at your store. Only products ordered and paid for through the LCBO’s online ordering system are allowed to be sold.   

If you have questions about products, or ordering and distribution, please direct them to the LCBO. Visit the LCBO’s website for businesses to learn more about working with the LCBO

. 

Product offering is limited to beer, cider, wine and ready-to-drink beverages. Spirits may not be sold in a grocery or convenience store. 

You also cannot sell a brand of liquor that you (or your affiliates) have a direct or indirect financial interest in the brand or its trademark.

Storing alcohol products 

Required:
  • IconAlcohol inventory that is not on display must be stored in a secure storage area somewhere on or off the premises that is not accessible to the public. You must let the AGCO know (via iAGCO) where you will store liquor if it isn't at your retail location. Liquor can't be stored in your home or any other dwelling.
  • IconLiquor that has been ordered for pick-up or delivery has to come from the store's on-site inventory.
You decide:
  • IconWhether coolers or storage areas need to be locked.
  • IconWhether to store alcohol warm or cold.

 

Alcohol display requirements

Energy drinks should not be displayed alongside alcohol products and must be placed in a separate area of the store. 

On the shelf 

Alcohol on display must meet shelf space requirements related to the product display category.

  • Beer: ≥20% of beer containers on display is beer produced by small breweries 
  • Cider: ≥20% of cider containers on display is cider produced by small cideries
  • Ready-to-drink beverages: ≥20% ready-to-drink beverage containers on display must be beverages produced by small breweries, small distilleries or small wineries 
  • Wine: ≥10% of wine containers on display is produced by small wineries. Additionally:
    •  ≥40% of the wine on display is produced using grapes from a single country and at least one of the following: 
      1. the wine is quality assurance wine, 
      2. the wine was produced by a small winery, or 
      3. the country where the grapes were grown produces, in the aggregate, less than 150 million litres of wine annually from grapes grown in that country.  

Note: the LCBO will identify which alcohol products are produced by small manufacturers in their catalogue, including which wine products will meet display requirements.  

When an AGCO Inspector visits your store, they will: 

  • count the number of front facing bottles / cans on display 
  • count how many are from small manufacturers
  • calculate the % small / craft of products from the total number of bottles / cans

Advertising requirements

All advertising must comply with the requirements outlined in the LLCA, its regulations and the Registrar’s Standards for Grocery and Convenience Stores. 

Here are some examples of what is permitted under the requirements. You may advertise:  

  • That you have alcohol for sale 
  • The brands you carry 
  • Prices, including discounts or deals (always above the legal minimum price) 
  • Inside and outside your store 
  • Alcohol with food or non-alcoholic beverages (excluding energy drinks)  
  • The responsible use of alcohol 

Here are some examples of what is not permitted under the requirements. Your advertising cannot:  

  • Associate drinking with driving, or with any activity that requires care and skill or has elements of danger.  
  • Appeal to minors. 
  • Offer free or discounted merchandise that requires the purchase of alcohol

Learn more about advertising by reading the Guide for Grocery Store and Convenience Store Licensees: Advertising and Inducements. 

Inducements and relationships with liquor manufacturers 

You can work with liquor manufacturers on supply/demand planning, forecasting and category management related to  liquor products in your store so long as no party is paid for these services.

You are not allowed to directly or indirectly request, demand or receive a financial or non-monetary benefit in Ontario or in any other jurisdiction from a liquor manufacturer or from a person acting on the manufacturer’s behalf. 

 Here are some examples of what you cannot accept:

  • Compensation or non-monetary benefits in exchange for things like: 
    • Advertising any specific brands 
    • Agreeing to carry a manufacturer’s products 
    • Exclusively carrying certain brands or products 
    • Offering special or exclusive placement on shelves 
  • Free items or services for your business operations like, furniture, lighting, fridges, coolers, signage, staff uniforms, shelf stocking, and renovations.

Learn more about inducements and incentives by reading the Guide for Grocery Store and Convenience Store Licensees: Advertising and Inducements.  

Ontario Deposit Return Program (ODRP) requirements

This section provides important information to help participating and exempt licensees remain compliant with the Ontario Deposit Return Program (ODRP), as outlined in Ontario Regulation 745/21

under the Liquor Licence and Control Act, 2019
(LLCA).

Note: Some grocery store locations are temporary exempt from collecting empty containers and providing refunds, if they are located within 5km of a Beer Store. Effective January 1, 2026, all grocery store licensees will be required to accept empty containers and provide bottle deposit refunds to customers.

ODRP Resources 

For additional reference and guidance, following are publicly available resources that outline the ODRP and the related obligations that Licensees are required to fulfill. 

Returns

Eligible containers and secondary packaging must be accepted during all hours when alcohol is sold.

Secondary packaging materials (when returned with eligible containers) include:  

  • Plastic wrapping
  • Cardboard cases
  • Boxboard
  • Paper bags
  • Plastic rings
  • Bottle caps
  • Corks

Eligible containers include: 

  • All wine, spirit, beer and ready-to-drink beverage containers over 100ml that are sold in Ontario

Refunding deposits

Deposits must be refunded in full to customers using cash, cheque, or electronic fund transfer. The applicable rates for regulated containers are as follows:

  • Containers over 100ml and up to 630ml - 10¢
  • Containers more than 630ml - 20¢
  • Aluminum or steel cans less than or equal to 1L - 10¢
  • Aluminum or steel cans greater than 1L - 20¢

Sorting and Pick-up from TBS

Containers must be sorted into four categories:

  1. Refillable bottles (must be intact)
  2. Non-refillable clear glass
  3. Non-refillable colored glass
  4. Cans (aluminum or steel)

Other containers and secondary packaging can be returned without further sorting.

Containers and secondary packaging must be sorted for pickup by The Beer Store (TBS) at the scheduled time and location. Containers cannot be placed in other collection systems including commercial or municipal waste or recycling programs and must be kept separate for TBS pickup.

Recordkeeping

Licensees must retain the following records for at least one year and provide them to the LCBO or TBS upon request:

  • Number of container returns accepted each day and deposit amount refunded for each container 
  • Number of containers provided to TBS at each pickup, broken down by sorting category

Reimbursement

  • TBS is responsible for reimbursing licensees for the deposits refunded to customers on all eligible empty containers that are returned to TBS
  • TBS will pay licensees a 2¢ handling fee for every ODRP container provided sorting requirements have been met
  • Any handling fees for TBS system containers may be negotiated by licensees directly with TBS through an alternative arrangement

Exemptions for convenience stores

Signage

Licensed convenience stores are required to post a clear, visible sign that describes the nearest location where customers can return eligible empty containers.

Signage templates are available on doingbusinesswithlcbo.com

; however, licensees may use a different sign, provided the requirements are met.

Find the nearest empty return location to take back eligible empty beverage alcohol containers under ODRP by visiting LCBO's Empty Return Locations

map.

Alternative arrangements

While convenience store licensees are exempt from accepting empty container returns, they may opt-in to participate in the ODRP by entering a contract with TBS.

Alternative arrangements may be negotiated with TBS to modify or supplement the standard requirements. These arrangements can address collection fees, handling fees, compliance methods, sorting requirements, and pickup logistics. Once an alternative arrangement is made, the AGCO will not verify compliance with requirements related to that specific arrangement.

For inquiries or to set up alternative arrangements, contact TBS at [email protected] or 1-888-948-2337.
 

How we check for compliance

Inspections 

The AGCO may inspect your location at any time. If we find anything of concern, an AGCO Inspector may work with you to help you solve the issue. Inspectors may look for compliance with the signage requirements (such as the Sandy’s Law poster), percentage of small manufacturers on display, product placement and other requirements that must be followed by a licensee.

You are required to let AGCO Inspectors access your business and conduct their inspections.  

Repeated or serious instances of non-compliance with your obligations may result in a verbal or written warning, a monetary penalty, or a suspension or revocation of your licence. 

Auditing

The AGCO may conduct audits and reviews based on, among others, complaints and ongoing data analysis. Auditors inspect how licensees are accepting empty alcohol container returns and sorting, product transfers, and recordkeeping. 

Mystery shoppers 

We have a mystery shopper program where youthful-looking adult shoppers act like customers and try to buy liquor at licensed establishments. The program helps us evaluate how you and your staff are performing in meeting your regulatory responsibilities, particularly with respect to preventing youth access to age gated products.  

Learn more about the mystery shopper program.   

What happens when we find that you are not compliant 

The AGCO has a variety of actions we take to bring licensees back into compliance. The action we take may depend on the seriousness of the infraction and your compliance history.   

  • Education
    Inspectors work with you to help you understand your obligations
  • Warning
    A formal warning that your are not meeting your responsibilities
  • Monetary penalty
    A financial consequence where you pay a defined amount
  • Suspension
    Can't sell alcohol for a period of time
  • Revocation
    Lose you licence and ability to sell alcohol

Learn more about:

Resources

As a licence holder you are responsible for following all the requirements and obligations that apply to you. Read these resources to learn more about your responsibilities. 

Key documents for convenience and grocery store licensees 

General alcohol responsibilities and resources 

Printable resources:  

Other supports