South Carolina              
Administrative Law Court
Edgar A. Brown building 1205 Pendleton St., Suite 224 Columbia, SC 29201 Voice: (803) 734-0550

SC Administrative Law Court Decisions

CAPTION:
Comer’s Full Service and Grill, Inc. vs. SCDOR

AGENCY:
South Carolina Department of Revenue

PARTIES:
Petitioner:
Comer’s Full Service and Grill, Inc.
5425 Wylie Avenue, Hickory Grove, South Carolina

Respondent:
South Carolina Department of Revenue
 
DOCKET NUMBER:
05-ALJ-17-0461-CC

APPEARANCES:
Thea Hills
For Petitioner

Harry A. Hancock, Esquire
For Respondent

Misty Lane
Protestant, pro se
 

ORDERS:

FINAL ORDER AND DECISION

STATEMENT OF THE CASE

The above-captioned case comes before this Court pursuant to S.C. Code Ann. § 61-2-260 (Supp. 2005), S.C. Code Ann. § 1-23-600(B) (Supp. 2005), and S.C. Code Ann. §§ 1-23-310 et seq. (2005) for a contested case hearing. Petitioner Comer’s Full Service and Grill, Inc., seeks an on-premises beer and wine permit for its convenience store, gas and service station, and grill located at 5425 Wylie Avenue in Hickory Grove, South Carolina. Respondent South Carolina Department of Revenue (Department) denied Petitioner’s application because of the protest filed against the application on petitions signed by a total of 144 individuals.[1] These petitions raised concerns regarding the suitability of the location of Petitioner’s store for the sale of beer and wine for on-premises consumption. After timely notice to the parties and the protestants, a hearing of this case was held on Friday, January 13, 2006, at the South Carolina Administrative Law Court in Columbia, South Carolina. Based upon the evidence presented regarding the suitability of the proposed location and upon the applicable law, I find that Petitioner’s application for an on-premises beer and wine permit should be granted.

FINDINGS OF FACT

Having carefully considered all testimony and arguments presented at the hearing of this matter, and taking into account the credibility and accuracy of the evidence, I make the following Findings of Fact by a preponderance of the evidence:

1. On or about June 9, 2005, Wayne Hills and Thea Hills submitted an application to the Department on behalf of their corporation, Comer’s Full Service and Grill, Inc., for an on-premises beer and wine permit for their convenience store, gas and service station, and grill located at 5425 Wylie Avenue in Hickory Grove, South Carolina. This application and the Department’s file on the application are hereby incorporated into the record by reference.

2. Notice of Petitioner’s application was published once a week for three consecutive weeks in The Herald, a newspaper published in Rock Hill, South Carolina, and circulated in York County, South Carolina, and proper notice of the application was posted at the proposed location for fifteen days.

3. The principals of Petitioner Comer’s Full Service and Grill, Inc., Wayne Hills and Thea Hills, are over twenty-one years of age, have no delinquent state or federal taxes, and are legal residents of the United States and the State of South Carolina. Further, Wayne Hills and Thea Hills reside and maintain their principal place of abode in South Carolina, and did so for at least thirty days prior to filing Petitioner’s application for a beer and wine permit.

4. Wayne Hills and Thea Hills have no criminal records and there is no evidence in the record to suggest that they have engaged in acts or conduct implying the absence of good moral character. Further, neither Mr. Hills nor Ms. Hills has had a beer and wine permit suspended or revoked, and the record does not reveal that either of them has committed any violations of South Carolina’s alcoholic beverage laws.

5. Comer’s Full Service and Grill operates as a convenience store, retailing normal grocery items; a gas and service station, selling gasoline and repairing cars; and a grill, preparing meals for lunch with seating for six customers. Comer’s has been operated in a similar fashion at the location in question for some twenty years, with such operations including the sale of beer and wine for off-premises consumption from the convenience store portion of the business. While the normal daily hours of operation for Comer’s are 5 a.m. to 9 p.m., the grill portion of the establishment is focused on serving lunch and closes daily at 2 p.m. Mr. Hills and Ms. Hills seek an on-premises beer and wine permit so that they can offer beer and wine for sale with the meals they serve during their lunch operations at the grill, in addition to selling beer and wine for off-premises consumption from the convenience store.

6. Comer’s Full Service and Grill is located along Highway 211 in Hickory Grove, South Carolina, a small town located in York County. There are no churches, schools, playgrounds, or residences within close proximity to Comer’s. While there are several residences in the general vicinity of the location, the nearest residences are approximately one-tenth of a mile from the location. Similarly, the nearest church to Comer’s is a Church of God located some six-tenths of a mile away from the location; the nearest playground is a ball park located about three-fourths of a mile away; and the nearest school is an elementary school located over a mile away from Comer’s.

7. At the hearing of this matter, Misty Lane testified regarding her opposition to Petitioner’s application for an on-premises beer and wine permit for the proposed location. In particular, Ms. Lane was concerned with the proximity of the location to two churches, a school, a ball park, and a fire station in Hickory Grove, as well as with the possibility that Petitioner’s on-premises sale of beer and wine would lead to an increased problem with drunk driving on the roads in her community. Further, Ms. Lane alleged that certain disorderly conduct had occurred at Comer’s in recent months, including an incident involving the consumption of alcohol by both customers and employees of Comer’s on its premises and an incident involving the playing of loud music at Comer’s.

CONCLUSIONS OF LAW

Based upon the foregoing Findings of Fact, I conclude the following as a matter of law:

1. Jurisdiction over this case is vested with the South Carolina Administrative Law Court pursuant to S.C. Code Ann. § 61-2-260 (Supp. 2005), S.C. Code Ann. § 1-23-600(B) (Supp. 2005), and S.C. Code Ann. §§ 1-23-310 et seq. (2005).

2. “[T]he issuance or granting of a license to sell beer or alcoholic beverages rests in the sound discretion of the body or official to whom the duty of issuing it is committed[.]” Palmer v. S.C. Alcoholic Beverage Control Comm’n, 282 S.C. 246, 248, 317 S.E.2d 476, 477 (Ct. App. 1984); see also Wall v. S.C. Alcoholic Beverage Control Comm’n, 269 S.C. 13, 235 S.E.2d 806 (1977).

3. S.C. Code Ann. §§ 61-4-500 through 61-4-620 (Supp. 2005) govern applications for retail beer and wine permits and establish the criteria for determining eligibility for those permits. Further, S.C. Code Ann. § 61-2-100 (Supp. 2005) lays out the general requirements that all applicants for permits and licenses to sell alcoholic beverages must satisfy.

4. S.C. Code Ann. § 61-4-520 (Supp. 2005) establishes the criteria for the issuance of a beer and wine permit. Included in the criteria is the requirement that the proposed location be a proper and suitable one. See id. § 61-4-520(6)-(7).

5. Although “proper location” is not statutorily defined, broad discretion is vested in the trier of fact to determine the fitness and suitability of a particular location for the requested permit. See Fast Stops, Inc. v. Ingram, 276 S.C. 593, 281 S.E.2d 118 (1981).

6. The determination of suitability of location is not necessarily a function solely of geography. Rather, it involves an infinite variety of considerations related to the nature and operation of the proposed business and its impact on the community within which it is to be located. Kearney v. Allen, 287 S.C. 324, 338 S.E.2d 335 (1985); Schudel v. S.C. Alcoholic Beverage Control Comm’n, 276 S.C. 138, 276 S.E.2d 308 (1981).

7. However, without sufficient evidence of an adverse impact on the community, a permit application must not be denied if the statutory criteria are satisfied. The fact that the issuance of a permit or license is protested is not a sufficient reason, by itself, to deny the application. See 48 C.J.S. Intoxicating Liquors § 119 (1981).

8. In making a decision in this matter, this Court is constrained by the record before it and the applicable statutory and case law. Here, Petitioner meets all of the statutory criteria enacted by the South Carolina General Assembly for the issuance of a beer and wine permit, and there has not been a sufficient evidentiary showing that the location in question is unsuitable for the sale of beer and wine for on- and off-premises consumption at Petitioner’s convenience store, service station, and grill or that the issuance of the permit in question would create problems in or have an adverse impact upon the surrounding community. While Comer’s will offer beer and wine for both on-premises and off-premises consumption, Comer’s will only serve beer and wine on-premises as complement to its existing food service and will only sell beer and wine at retail as part of its normal convenience store operations. Such sales of beer and wine would simply not engender the sort of problems created by establishments such as bars and nightclubs that are primarily, if not solely, dedicated to the sale and consumption of alcoholic beverages. Cf., e.g., Bergmann v. City of Melrose, 420 N.W.2d 663, 667 (Minn. 1988) (approving the city council’s decision to condition a liquor license upon the licensee’s operation of a “family restaurant” and noting that “[a]n establishment that serves only liquor is qualitatively different from a restaurant that serves liquor only as an adjunct to food.”).

This tribunal is respectful of Ms. Lane’s opposition to the requested permit and acknowledges her concerns regarding drunk driving along the roads in her community. Nevertheless, the Court finds that the Comer’s location is suitable for the sale of beer and wine for on-premises consumption. In short, Petitioner is currently operating a legitimate convenience store, service station, and grill at the location, and the evidence in the record suggests that Petitioner will continue to operate the business responsibly after the addition of the sale of beer and wine for on-premises consumption with meals.

ORDER

Based upon the Findings of Fact and Conclusions of Law stated above,

IT IS HEREBY ORDERED that the Department shall GRANT Petitioner’s application for an on-premises beer and wine permit for the premises located at 5425 Wylie Avenue in Hickory Grove, South Carolina.

AND IT IS SO ORDERED.

______________________________

JOHN D. GEATHERS

Administrative Law Judge

1205 Pendleton Street, Suite 224

Columbia, South Carolina 29201-3731

January 30, 2006

Columbia, South Carolina



[1] These petitions were prepared by Misty Lane, a resident of Hickory Grove, who opposes Petitioner’s application. Ms. Lane distributed the petitions to a number of local churches on Sunday, June 26, 2005; collected the completed petitions the following Monday; and submitted the petitions to the Department under her cover letter on Tuesday, June 28, 2005. While these petitions recite that the signers of the petitions satisfy the statutory requirements for protesting Petitioner’s license and that the signers would attend a hearing on the application before this Court, it appears that these documents are simply group petitions opposing the license, rather than formal protests filed by the individuals who signed the petitions. Therefore, by a letter dated December 15, 2005, the Court designated Ms. Lane as the spokesperson for the numerous protestants in this matter, because she had prepared and submitted the petitions in question. In the letter, the Court informed Ms. Lane that, as the spokesperson for the protestants, all correspondence regarding this case would be mailed directly to her, rather than to all of the individuals who signed the petitions, and that she would be responsible for notifying interested persons of the date of the hearing scheduled in this matter.


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