What Is A "Contested Case"

Although the decision is not about land use, the Hawaii Intermediate Court of Appeals' decision in E & J Lounge Operating Co. v. City and County of Honolulu, No. 27940 (Dec. 24, 2007) is worth a read since it analyzes when an agency is required to hold a "contested case" (an administrative trial) in processing license and permit applications, and when a public hearing may suffice.  The court held that an entitlement to a liquor license is a "privilege" not a right, because the liquor commission has broad discretion to determine whether to issue a license, and that since no property right was at stake, the commission was not required to conduct a contested case.