The organisers of the Undie 500 car rally by Canterbury University students are seeking a new place to finish the event after their plans were scuppered by Marlborough District Council.
An application for a liquor licence for a party on a property outside Seddon, has been turned down by the council.
Nelson-Marlbrough District Health Board and the police opposed the application. The rally ended in uproar in Dunedin last year.
Marlborough Mayor Alistair Sowman says, in reality, the event would be a pub crawl from Christchurch to Marlborough with a major party at the end and he is not surprised it was turned down.
The Engineering Society says it is disappointed with the council's decision.
President Michael Cook says having a planned party with entertainment at the end of the event was a way to control alcohol consumption and people's behaviour.
He says the society still plans to run the event next month.