Quick answer: SOAH, the State Office of Administrative Hearings, is an independent Texas tribunal that hears contested TABC cases. An administrative law judge (ALJ) who does not work for TABC runs a trial-like hearing without a jury, then issues a Proposal for Decision with findings of fact and conclusions of law. TABC’s commissioners then adopt, reject, or modify that proposal and issue the final order.
What SOAH is, and why it sits apart
SOAH was established in 1991 to consolidate the hearing functions that individual state agencies used to run themselves. Putting hearings in one neutral office separates the people who decide a case from the people who brought it, which is the structural point: the agency that alleges the violation does not also judge it. SOAH hears a large volume of contested cases each year for more than fifty referring agencies, which builds concentrated expertise in administrative law.
The rulebook
Three layers govern a TABC hearing. The Administrative Procedure Act (APA), Texas Government Code Chapter 2001, sets the baseline rights: notice, the right to be heard, discovery, evidence standards, and judicial review. SOAH’s own procedural rules, in 1 Texas Administrative Code Chapter 155, fill in case management, motions, discovery, and hearing mechanics. For evidence, SOAH applies the Texas Rules of Evidence as they would apply in a nonjury civil case in district court. The Alcoholic Beverage Code itself (Section 5.43) designates SOAH to conduct hearings authorized by the Code.
The shape of the hearing
A SOAH hearing resembles a civil trial run by a judge alone. TABC files a petition describing the alleged violations and proposed penalty; the business files an answer responding to the allegations, asserting defenses, and raising any procedural challenges. Before the hearing, either side can file motions, to dismiss, for summary disposition where facts are undisputed, to compel discovery, for a continuance, or in limine on evidence. At the hearing, the party carrying the burden of proof generally presents first, and the ALJ controls the order of proceedings.
From proposal to final order
The ALJ does not have the last word. The judge issues a Proposal for Decision (PFD) setting out findings of fact and conclusions of law. TABC’s commissioners then make the final decision in the contested case: they can adopt the PFD, reject it, or modify it, and they issue the final order. That power is real but not unlimited. Under the Administrative Procedure Act, the commissioners may change the ALJ’s findings of fact only on narrow grounds, essentially that the judge did not correctly apply the law, agency rules, or prior decisions, or that there was a technical error, and they must state in writing the specific reason and legal basis for any change. They cannot simply substitute their own view of the facts for the ALJ’s. On the penalty itself, the agency has broader discretion to depart from what the ALJ recommended. The business has the right to appeal the final order.
How the timeline runs
A contested case tends to move through the same sequence:
- Reject the settlement and request a hearing.
- TABC files charging documents; SOAH dockets the case.
- Discovery and pre-hearing motions.
- The hearing before the ALJ.
- The ALJ issues a Proposal for Decision.
- TABC commissioners issue the final order.
- The business may seek rehearing and then appeal.
In practice
A bar contests an alleged sale to a minor. At the SOAH hearing, TABC, carrying the burden, presents its investigator’s testimony and the citation first. The bar’s representative cross-examines, then offers its written responsible-service policies and certification records to support a Safe Harbor defense. The ALJ weighs the record under the Texas Rules of Evidence and issues a Proposal for Decision. Months later, TABC’s commissioners review it and issue the final order, the document the bar would actually appeal if it disagrees.
FAQ
Is the judge a TABC employee?
No. A SOAH hearing is conducted by an independent administrative law judge who does not work for TABC. SOAH was created to separate adjudication from the agencies that bring cases.
Does the SOAH judge decide my case?
The judge issues a Proposal for Decision with findings and conclusions, but TABC’s commissioners make the final decision and issue the final order. They can adopt, reject, or modify the proposal, though under the Administrative Procedure Act they may change the judge’s findings of fact only on narrow grounds and must explain any change in writing.
Is there a jury?
No. A SOAH hearing is decided by the administrative law judge, not a jury.
What rules apply at a SOAH hearing?
The Administrative Procedure Act (Government Code Chapter 2001) and SOAH’s procedural rules (1 TAC Chapter 155), with the Texas Rules of Evidence applied as in a nonjury civil case.
Current as of June 2026. This article is general educational information, not legal advice. Procedures change; verify the current APA and SOAH rules (1 TAC Chapter 155) and consult a qualified Texas attorney about your specific situation.