Efforts by the state to revoke the licenses of two Lawrence liquor store owners are on hold while the Kansas Court of Appeals considers an issue in the case.

Dan and Jill Blomgren, owners of the city’s two Cork & Barrel liquor stores, filed a case this summer in Douglas County District Court appealing a decision by the state’s Alcoholic Beverage Control unit to revoke their liquor licenses. ABC officials alleged that Dan Blomgren made false statements on forms used to renew his liquor license in May 2002 and had an illegal, hidden interest in another Lawrence store in 2001 and 2002.

ABC officials in August sought to have the Blomgrens’ appeal removed from District Court. ABC attorneys are arguing that the Blomgrens have skipped a step in the appeal process and should be forced to have a hearing in front of Kansas Secretary of Revenue Joan Wagnon.

Douglas County District Court Judge Stephen Six last month refused to dismiss the appeal. But ABC officials earlier this month filed an appeal with the Kansas Court of Appeals to rule on whether the Blomgrens must have a hearing. The two stores are allowed to stay open during the appeals process.