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:
SCDOR vs. Odell Clubs, Inc., d/b/a Hideaways

AGENCY:
South Carolina Department of Revenue

PARTIES:
Petitioner:
South Carolina Department of Revenue

Respondent:
Odell Clubs, Inc., d/b/a Hideaways
 
DOCKET NUMBER:
06-ALJ-17-0573-CC

APPEARANCES:
For the Petitioner: Dana R. Krajack, Esquire

For the Respondent: no appearance
 

ORDERS:

FINAL ORDER AND DECISION

This matter comes before the Administrative Law Court (ALC or Court) for a contested case hearing pursuant to S.C. Code Ann. §§ 1-23-310 et seq. (2005) and §§ 61-2-260, 61-4-580(5), 61-4-590, 61-6-1820(2) and 61-6-1830 (Supp. 2005). The South Carolina Department of Revenue (Department) seeks to permanently revoke the beer and wine permit, 32004184-PBW, and the restaurant liquor by the drink license, 32004184-PSB, which were issued to Respondent, Odell Clubs, Inc. for the location doing business as “Hideaways,” located at 3604 Broad River Road, Columbia, South Carolina.

On June 27, 2006, pursuant to a Motion for Emergency Suspension filed by the Department, the Court issued an Order of Summary Suspension, which suspended Respondent’s beer and wine permit and restaurant liquor by the drink license pending a hearing on the merits of their permanent revocation. A hearing on the merits was held on July 6, 2006 at the offices of the Administrative Law Court in Columbia, South Carolina. Counsel for the Petitioner appeared at the hearing with witnesses. However, Respondent made no appearance. Evidence was introduced and testimony was given. After carefully considering the evidence, I find that Respondent’s beer and wine permit and restaurant liquor by the drink license is permanently revoked.

FINDINGS OF FACT

Having observed the witnesses and reviewed the exhibits presented at the hearing and closely passed upon their credibility, and having taken into consideration the burden of persuasion by the parties, I make the following Findings of Fact by a preponderance of the evidence:

1. Notice of the time, date, place and subject matter of the hearing was timely given to all the parties.[1]

2. Respondent failed to appear at the hearing on July 6, 2006.

3. Since 2003, a growing number of criminal incidents have occurred at the location. Some of the incidents are as follows:

September 8, 2003 – Motor Vehicle Theft

September 20, 2003 – Traffic Offenses

September 29, 2003 – Aggravated Assault (stabbing)

October 6, 2003 – Theft from Motor Vehicle

December 15, 2003 – Narcotics Violation

December 25, 2003 – Aggravated Assault

December 28, 2003 – Motor Vehicle Theft

March 29, 2004 – Aggravated Assault

March 29, 2004 – Aggravated Assault and Weapons Violation

April 19, 2004 – Vandalism of Property

May 24, 2004 – Vandalism

July 3, 2004 – Vandalism of Property

November 8, 2004 – Aggravated Assault and Liquor Law Violations

March 14, 2005 – Vandalism

March 28, 2005 – Narcotics Violation

May 5, 2005 – Vandalism

May 25, 2005 – Traffic Offenses and Narcotics Violation

May 25, 2005 – Vandalism

August 1, 2005 – Aggravated Assault (ABHAN)

August 8, 2005 – Resisting Arrest

November 26, 2005 – Shooting Incident and Aggravated Assault (CDVHAN)

January 26, 2006 – Disorderly Conduct

February 11, 2006 – Loud Music

March 13, 2006 – Simple Assault

March 18, 2006 – Shooting Incident

March 20, 2006 – Loud Music

March 27, 2006 – Aggravated Assault

April 20, 2006 – Shooting Incident

May 11, 2006 – Fighting

June 1, 2006 – Simple Assault

June 19, 2006 – Aggravated Assault

4. Over the past four (4) to five (5) months, there have been a series of shootings at the location. In a number of these incidents individuals have been shot, some of which were innocent bystanders. On at least one occasion, body guards employed by the club were involved in a shooting at the location in which individuals were struck by gunfire. Some of these shooting incidents have also resulted in car chases which lead into surrounding neighborhoods. The most recent shooting occurred on June 19, 2006, and an individual was injured by gunfire.

5. Captain Robert Scott Plexico of the Richland County Sheriff’s Department is in charge of the area where the club is located and is familiar with Hideaways. Captain Plexico, along with other members of the Richland County Sheriff’s Department, has responded to numerous incidents at the club including aggravated assaults, vandalisms, and shootings. He has also met with the owner, manager, and operators of the club to voice his safety concerns on three separate occasions.

6. There are residences in close proximity to the location. Roger Doudy lives approximately two hundred (200) yards behind the location. He has experienced problems with patrons of the club parking in the street, making it difficult for him to drive to his home. He has also had his sleep disturbed by loud music and gun shots emanating from the location. He fears for his safety and the safety of others in the area.

CONCLUSIONS OF LAW

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

1. S.C. Code Ann. § 1-23-600 (2005) grants jurisdiction to the Administrative Law Court to hear contested cases under the Administrative Procedures Act.

2. S.C. Code Ann. § 61-2-260 (Supp. 2005) grants the Administrative Law Court the responsibility to determine contested matters governing alcoholic beverages, including beer, wine and liquor.

3. S.C. Code Ann. § 61-4-580(5) (Supp. 2005) provides, in pertinent part:

No holder of a permit authorizing the sale of beer or wine or a servant, agent, or employee of the permittee may knowingly commit any of the following acts upon the licensed premises covered by the holder’s permit…(5) permit any act, the commission of which tends to create a public nuisance or which constitutes a crime under the laws of this State…A violation of any provision of this section is ground for the revocation or suspension of the holder’s permit.

A public nuisance exists whenever acts or conditions are subversive of public order, decency, or morals, or constitute an obstruction of public rights.State v. Turner, 198 S.C. 487, 495, 18 S.E.2d 372, 375 (1942). Furthermore, to be deemed a public nuisance it must affect a number of people. See Morison v. Rawlinson, 193 S.C. 25, 7 S.E.2d 635 (1940).

4. Furthermore, S.C. Code Ann. § 61-6-1820(2) requires that a corporation holding a mini-bottle license have "a reputation for peace and good order in its community, and [that] its principals [be] of good moral character." Failure to meet this requirement constitutes grounds for revocation of the license. S.C. Code Ann. § 61-6-1830.

5. The Department may seek revocation or suspension of permits for the sale of beer and wine “on its own initiative or on complaint signed and sworn to by two or more freeholders resident for the preceding six months in the community in which the licensed premises are located or by a local peace officer, all of whom are charged with the duty of reporting immediately to the department a violation of the provisions of Section 61‑4‑580…” S.C. Code Ann. § 61-4-590 (Supp. 2005).

6. Licenses and permits for the sale of liquor, beer and wine are property of the Department and must be surrendered to the Department immediately “upon the termination of a business, upon a change of ownership, possession, or control of a corporation or business entity, or upon a change in the character of the property, facilities, or nature of the business activity for which a license or permit has been issued.” S.C. Code Ann. § 61-2-140(B) (Supp. 2005).

7. Rule 23 of the Rules of Procedure for the Administrative Law Court provides:

The administrative law judge may dismiss a contested case or dispose of a contested case adverse to the defaulting party. A default occurs when a party fails to plead or otherwise prosecute or defend, fails to appear at a hearing without the proper consent of the judge or fails to comply with any interlocutory order of the administrative law judge. Any non-defaulting party may move for an order dismissing the case or terminating it adversely to the defaulting party.

8. Permits and licenses issued by this state for the sale of liquor, beer and wine are not property rights. Rather, they are privileges granted in the exercise of the State’s police power to be used and enjoyed only so long as the holder complies with the restrictions and conditions governing them. The Administrative Law Court, as the tribunal authorized to grant the issuance of a permit, is likewise authorized to revoke or suspend the permit for cause. See Feldman v. S.C. Tax Commission, 203 S.C. 49, 26 S.E.2d 22 (1943).

9. In this case, the evidence clearly shows that law enforcement officers have had to respond to numerous complaints of crimes and violent incidents at the location, which have increased in both frequency and severity, over the past several years. There have also been an increasing number of shootings at the location over the past several months, some of which have been life-threatening. Because of these incidents, law enforcement is unable to maintain public order there and provide for the safety of members of the public and patrons of the location.

Several neighborhoods also surround the location. Residents of these neighborhoods have not only been disturbed by loud music and gunshots emanating from the location, but they have also been threatened by shots fired during car chases through these neighborhoods which result from incidents originating at the location.

Due to these numerous criminal incidents, Respondent no longer has a reputation for peace and good order in the community. Furthermore, the many crimes which have taken place at the location and the totality of the many acts which have occurred there constitute a public nuisance. Thus, the continued sale of beer, wine, and liquor at this location will only exacerbate the occurrence of criminal incidents at the location and continue to put the safety and welfare of the citizens at risk.

Therefore, due to the escalating number of criminal incidents at the location which threaten the safety and welfare of the public, and the fact that Respondent failed to appear at the hearing without the proper consent of the Court and, as a result, failed to defend the matter, I find and conclude that Respondent’s beer and wine permit and liquor by the drink license are permanently revoked.

ORDER

For all the foregoing reasons,

IT IS HEREBY ORDERED that the beer and wine permit, 32004184-PBW, and the restaurant liquor by the drink license, 32004184-PSB, which were issued to the Respondent, Odell Clubs, Inc. for the location doing business as “Hideaways,” located at 3604 Broad River Road, Columbia, South Carolina are hereby permanently revoked; and

IT IS FURTHER ORDERED that Respondent shall promptly surrender its license and permit to the Department.

AND IT IS SO ORDERED.

__________________________________

July 13, 2006 Marvin F. Kittrell

Columbia, South Carolina Chief Administrative Law Judge



[1] The Court mailed a copy of the Order of Summary Suspension which set forth the date, time, place and subject matter of the hearing on the permanent revocation of the permit and license to Paul T.Odell via regular and certified mail on June 27, 2006. According to the Department’s records, Paul T. Odell is the sole owner of the location.


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