Campaigners are calling for tougher penalties against licensees after a pub refused entry to a customer with hearing difficulties and her assistance dog.
Colin Mahon, licensee of the Molescroft Inn, Beverley, East Yorkshire, was ordered to pay £1,200 in damages by Hull County Court last week in the first case under the Disability Discrimination Act (DDA) involving an assistance dog.
Denise Canniffe was refused permission to bring her dog Jude into the pub in May 2002.
The court heard that the dog was refused entry because Mr Mahon believed only guide dogs for the blind were exempted from health regulations.
Bert Massie, chairman of the Disability Rights Commission, said: "Disabled people constantly run the gauntlet of embarrassment, humiliation or downright discrimination.
"Pubs need to know that they are simply breaking the law if they refuse to allow a disabled person to use their service.
"The courts should impose stiffer punitive awards on businesses that properly reflect the injury and distress caused by disability discrimination."
Mrs Canniffe said: "I had no alternative but use the law. I hope the result sends a strong message to pubs that disabled people should receive fair and equal treatment."
Following the case, the Federation of Licensed Victuallers' Associations (FLVA) said licensees need guidance rather than punishment to help deal with regulations imposed on pubs by the DDA.
Chief executive Tony Payne said the exemption for assistance dogs was not well known.
"The trade certainly needs a lot more information about these regulations," he said.
Assistance dogs have been exempted from health regulations since 1995.
Qualified dogs are issued with a certificate by the Department of Health and Environment which allows them the same concessions and access to public places offered to guide dogs.
Under the DDA it is illegal for licensees to refuse entry to a disabled person.
From October 2004, all businesses will have to make "reasonable adjustments" to ensure their premises are accessible or they may face prosecution.
This could mean anything from installing ramps, offering table service to disabled customers, teaching staff sign language or offering a Braille menu.
Licensees who are concerned about their obligations should contact the Disability Rights Commission on 08457 622 633 or log on to www.drc-gb.org.