ORDERS:
ORDER AND DECISION
STATEMENT OF THE CASE
This matter comes before the Administrative Law Judge Division on citations issued by the
Department of Revenue (Department) against Charles Curran, holder of a sale and consumption
license on behalf of Sand Pipers for violating the provisions of 23 S.C. Code Regs. 7-17(J) for
permitting consumption of liquor by a nonmember on May 3, 1996. After notice to the parties, a
hearing was conducted on January 10, 1997.
Based upon the evidence presented, Charles Curran violated the provisions of 23 S.C. Code Regs.
7-17(J). The sale and consumption license of Sand Pipers is revoked and a $500 fine imposed.
Any issues raised in the proceedings or hearing of this case and not specifically addressed in this
Order are deemed denied. ALJD Rule 29(B).
FINDINGS OF FACT
I make the following findings of fact, taking into consideration the burden on the parties to
establish their respective cases by a preponderance of the evidence and taking into account the
credibility of the witnesses:
1. Charles Curran is secretary of Sand Pipers, a non-profit social club. He holds the sales and
consumption license on behalf of the social club for its location, Sand Pipers at 4883 Highway 17
Bypass, Murrells Inlet, South Carolina.
2. On May 3, 1996, Joey Sims was assisting the Alcohol Enforcement Unit of SLED with
undercover operations relating to the sale of liquor and beer and wine. At approximately 9:25
p.m. he entered Sand Pipers with instructions to attempt to purchase liquor.
3. Sims was not and is not a member of Sand Pipers or a guest of a member of Sand Pipers.
4. When Sims entered the location, there was no one at the door and he proceeded to the bar
where he ordered a mixed alcoholic drink containing vodka and orange juice.
5. The bartender asked whether Sims was a member or the guest of a member to which he
responded that he was not. She prepared the drink in front of Sims breaking the seal on a
minibottle and pouring it into a glass with orange juice before Sims paid for it.
6. Shortly thereafter, Rhett Holden and Lt. Grimsley, the SLED agents who accompanied Sims,
entered the club and identified themselves as SLED agents. They located Sims who identified the
bartender that sold him the drink. The agents then issued a citation to Charles Curran for the sale
of liquor to a nonmember.
7. Sand Pipers is a private club that has live entertainment. The band generally begins to play
about 11:00 p.m. An employee of the club is stationed at the door beginning at 10:00 p.m. for the
purpose of checking memberships and identification.
8. When no doorman is on duty, it is the bartender's responsibility to inquire about membership
and check identification. The bartender was not present at the hearing and did not testify.
9. Sand Pipers has two prior administrative violations: (1) permitting consumption of liquor by a
non-member on July 15, 1995 for which a $200 fine was paid; and (2) permitting consumption of
liquor by a non-member and permitting possession/consumption of liquor by a person under
twenty-one years of age on January 26, 1996 (Order of violation issued on February 7, 1997).
CONCLUSIONS OF LAW
Based upon the Findings of Fact, I conclude as a matter of law, the following:
1. Pursuant to S.C. Code Ann. § 61-1-55 (Supp. 1995) and Chapter 23 of Title 1 of the 1976
Code, as amended, the South Carolina Administrative Law Judge Division has jurisdiction in this
matter.
2. S.C. Code Ann. § 61-5-20 establishes when the consumption of alcoholic beverages is lawful,
and therefore, by the inverse, when it is not. Subsection (3) permits service of alcoholic liquor by
a non-profit organization on the licensed premises to only members and their guests.
3. Sand Pipers operates as a non-profit social organization with limited membership, not open to
the general public, serving alcoholic beverages to its members and their guest pursuant to S.C.
Code Ann. § 61-5-20(3) (Supp. 1995).
4. S.C. Code Regs. 7-17(J) provides that "[o]nly bona fide members and bona fide guests of
members of [a private club] may consume alcoholic beverages sold in [minibottles] upon the
licensed premises."
5. The bartender sold alcoholic beverages to a person who was not a bona fide member or a guest
of a member of the club. The bartender was acting within the course and scope of her general
authority as a bartender when the sale occurred and was in furtherance of the business of her
employer/principal.
6. Where a violation of liquor laws is committed by an agent or servant, with knowledge and
consent of the principal or master, or in pursuance of his express command, or of a general
authority to the agent or servant, the principal or master is liable. 48 C.J.S. Intoxicating Liquors
§ 276 (1981).
7. Liquor licenses are neither contract nor property right. They are mere permits, issued or
granted in the exercise of the State's police power and to be enjoyed only so long as the
restrictions and conditions governing their continuance are followed. The tribunal authorized to
grant the issuance of a license is likewise authorized, for cause, to revoke it. Feldman v. S.C. Tax
Comm'n, 203 S.C. 49, 26 S.E.2d 22 (1943).
8. Pursuant to S.C. Code Ann. § 61-5-110 (Supp. 1995), for a third offense of the provisions of
Article 1, Chapter 5, Title 61, within three years of the first offense, a person shall be fined not
less than five hundred dollars and have his license revoked permanently.
9. The citation was properly issued by the Department and constitutes the third offense within
three years of the provisions of the Alcoholic Beverage Control Act and its regulations. Pursuant
to law, the fine imposed is $500 and the revocation of the sale and consumption license is
appropriate.
ORDER
Based upon the foregoing Findings of Fact and Conclusions of Law, Sand Pipers and Charles
Curran violated the provisions of S.C. Code Regs. 7-17(J) and S.C. Code Ann. § 61-5-20 (Supp.
1995) on May 3, 1996. It is therefore,
ORDERED, that the sale and consumption license held by Charles A. Curran, Secretary of Sand
Pipers is revoked pursuant to S.C. Code Ann. § 61-5-110 (Supp. 1995) and a fine of $500 is
imposed. The fine must be paid to the Department within ten days of the date of this Order. It is
further
ORDERED, that the appropriate law enforcement officer designated by the Department shall
serve a copy of this Order on the Respondent's and take possession of the sale and consumption
license.
AND IT IS SO ORDERED.
_____________________________
ALISON RENEE LEE
Administrative Law Judge
February 7, 1997
Columbia, South Carolina |