I think the issue is with prepared food (especially hot food) and I have to imagine that there are licenses, health inspections, etc that restaurants need to have, and if I could start a restaurant without one, then wouldn't everyone?
However I've been doing more research and found this quote:
Ken Sato, principal environmental health inspector for the San Francisco Health Department, says an underground restaurant would only be investigated in case of a complaint.
"We'd issue a notice to cease and desist operation," he says. "
Thanks for posting this. Portland + Seattle also have underground restaurants (which got so trendy they bore a legit manifestation, "Family Supper" ah, Portland...)
I did some research about this since yesterday and found mostly information for selling food you make in your house, but sell outside your house. They call it "cottage food," (i knew the expression, but not what i meant legally). I found out that "cottage food acts" are enacted state by state, and that Oregon (where I live) has a permissive one.
As for serving food right in your house, i haven't found much info yet.
However I've been doing more research and found this quote:
Ken Sato, principal environmental health inspector for the San Francisco Health Department, says an underground restaurant would only be investigated in case of a complaint.
"We'd issue a notice to cease and desist operation," he says. "
from this article: http://www.metroactive.com/papers/sonoma/04.06.05/dining-051...
So: I guess green light?