MIAMI BEACH, FL. State inspectors visiting Palace on Ocean Drive on September 21, 2026 found food sourced from unapproved or unknown suppliers, toxic substances improperly stored or identified, and no functioning employee illness reporting system, all seven violations rated high-severity. The restaurant was not closed.

What Inspectors Found

1HIGHFood from unapproved or unknown sourceHigh severity
2HIGHToxic substances improperly identified/stored/usedHigh severity
3HIGHEmployee not reporting symptoms of illnessHigh severity
4HIGHNo employee health policy or inadequate policyHigh severity
5HIGHInadequate handwashing facilitiesHigh severity
6HIGHNo consumer advisory for raw/undercooked foodsHigh severity
7HIGHPerson in charge not present or not performing dutiesHigh severity

The unapproved food sourcing violation is among the most consequential on the list. When a restaurant cannot identify where its food came from, there is no supply chain to trace if a customer becomes ill, and no guarantee that the product passed federal safety inspection.

Inspectors also cited toxic substances improperly identified, stored, or used. Cleaning chemicals and other hazardous materials stored incorrectly near food or food-contact surfaces create a direct contamination pathway, one that can produce illness within minutes of exposure.

The employee illness violations compounded the picture. Inspectors found no written health policy and no mechanism for workers to report symptoms of illness, two separate high-severity citations. A person in charge was either absent or not actively supervising operations at the time of the inspection.

Handwashing facilities were also cited as inadequate. Without functioning handwashing infrastructure, the other illness-prevention measures become difficult to enforce regardless of intent.

The restaurant also lacked a consumer advisory for raw or undercooked foods, meaning customers who ordered dishes prepared below standard cooking temperatures received no written notice of the associated risk.

What These Violations Mean

The food sourcing violation carries a specific danger that goes beyond the meal itself. If a customer becomes sick after eating at Palace, investigators need a supply chain to trace the contaminated ingredient. Food from an unapproved or unknown source severs that chain entirely. Products that bypass USDA or FDA inspection can harbor Listeria, Salmonella, or E. coli without any prior detection or recall notice.

The employee illness violations are, in the judgment of public health researchers, the most direct route to a multi-victim outbreak. Norovirus, which causes roughly 20 million illnesses in the United States each year, spreads efficiently when a symptomatic food worker handles ready-to-eat food. A written health policy and a reporting system are the two basic tools designed to interrupt that route. Palace, according to the September inspection, had neither.

Improperly stored toxic substances represent a different category of risk, one that is immediate rather than incubating. A cleaning chemical stored near food preparation surfaces, or an unlabeled container mistaken for a food product, can contaminate a dish in a single handling error. The health consequences can appear within the hour.

The inadequate handwashing facilities violation ties all of this together. CDC research consistently shows that hand hygiene failures are a contributing factor in the majority of foodborne illness outbreaks traced to restaurant settings. When the infrastructure for handwashing is itself deficient, the entire chain of illness prevention weakens.

The Longer Record

The September 2026 inspection was not an anomaly. State records show Palace has been inspected 36 times and has accumulated 382 total violations across its inspection history.

Palace on Ocean Drive: Recent Inspection Pattern

September 20267 high-severity violations. Food from unapproved source. Toxic substances improperly stored. No employee illness reporting system.
June 2026 (two inspections)7 high and 5 high-severity violations respectively, each with intermediate violations also cited.
March 20268 high-severity violations and 2 intermediate violations, the highest single-inspection count in the recent record.
December 20254 high-severity violations, 0 intermediate.
October 20256 high-severity violations, 0 intermediate.
June 202510 high-severity violations and 1 intermediate, the peak in the visible record.

Every inspection on record going back to at least January 2025 produced at least two high-severity violations. Six of the eight most recent inspections produced five or more. The June 2025 inspection produced ten.

Palace has never been emergency-closed in its 36 inspections on record. The September 2026 visit, with its seven high-severity findings including unapproved food sourcing and improperly handled toxic substances, did not change that.

After inspectors documented all seven violations and left the building, Palace remained open for business on Ocean Drive.