Yellowknife (Aug 16/06) - It's the first ruling of its kind in the territories. The NWT Liquor Licensing Board fined Coyote's Bar and Grill $750 for advertising drink specials on its website.

"I'm not happy at all," said owner Edward But after the show cause hearing Monday morning.

Coyote's Bar and Grill owner Edward But has to pay a $750 to the NWT Liquor Licensing Board for advertising drink specials on his website. - Jessica Gray/NNSL photo

"It was on recommendations from people I know and my lawyer to deal with it this way instead of contesting it," he said.

But described himself as a "sacrificial lamb" because his was the first case dealing with Internet advertising.

Board chairperson Don Kindt said advertising on the Internet falls under the panel's jurisdiction and must adhere to NWT Liquor Act regulations.

"It's not taken lightly," said Kindt.

The board admitted Internet advertising hasn't been a priority when it comes to enforcing the ad policy.

Kindt said the board may consider notifying those with liquor licenses about the policy for online ads.

The problem began when liquor licensing and enforcement personnel saw a newspaper ad with Coyote's website.

The site featured drink specials, a wine menu, and photographs of people drinking alcohol in the lounge, all of which are prohibited under the liquor act.

The board ruled that But was in violation of section 117 of the Liquor Act which states: "There shall be no advertisement of liquor by means of a sign, or in a newspaper, magazine, radio, or television, or other means of public communications except advertising specifically approved by the board."

But's lawyer, Kelly Payne, told the board the owner immediately took down the ads with drink specials.

He did the same when he realized the wine menu and photographs were also prohibited.

Liquor board licensing and enforcement officers first made the complaint in July of this year, even though the website was created in 2003. All material in question was taken down by August, said Payne.

Prosecutor Jay Bran asked for Coyote's, located on Range Lake Road, to be fined between $500 and $1,000.

But is angry with the decision because he pays for the site and treats it as his private property, just like his restaurant.

"I don't think a website is a public (domain)."

All pictures on the website, which are mostly of people celebrating their birthdays with a complimentary drink, were taken and put online with consent, said But.

The owner said he will not appeal the decision, but warns other establishments in town to take a look at their websites.

This is the second complaint about advertising But has faced.

In 2004, he was asked to take sign boards down that advertised drink specials outside Coyotes.

But said his co-operation with the liquor licensing and enforcement personnel should have made more of a difference in his case.