A hearing has begun into whether a popular Kitchener restaurant and bar could lose its liquor licence in light of an alcohol-related car crash in November 2007.

The Alcohol and Gaming Commission of Ontario (AGCO) could suspend Moose Winooski's licence for up to 45 days.

Lawyers for the restaurant have argued that the case should be stayed, because there is potential for bias against bar owners in the AGCO process.

The lawyers allege that because the investigators, prosecutors and adjudicators in licensing cases all work on the same floor of the building that houses the commission's offices, they could socialize in an environment where there is the potential for them to discuss cases.

Prosecutors and adjudicators also travel to cases together.

If the process is deemed to be unfair, there could be wide-ranging consequences that would impact dozens of other cases before the AGCO.

The Fatal Crash

Kevin Block, 21, of Cambridge, was killed when the car he was a passenger in careened into a ditch and then hit a poll on Cherry Blossom Road in Cambridge.

Katherine Walpole, then 22, of Hamilton, pleaded guilty to charges of impaired driving causing death in the crash, and was sentenced to 30 months in prison.

The two friends had been drinking beer at the nearby restaurant in the hours before the crash.

There are reports staff at the restaurant tried to stop the pair from driving at least six times, called them a taxi, and then contacted police when they left the establishment in their vehicle.

With files from CTV's Joel Bowey