South Carolina              
Administrative Law Court
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SC Administrative Law Court Decisions

CAPTION:
William McMillian d/b/a The Pub vs. SCDOR

AGENCY:
South Carolina Department of Revenue

PARTIES:
Petitioners:
William McMillian d/b/a The Pub

Respondents:
South Carolina Department of Revenue
 
DOCKET NUMBER:
94-ALJ-17-0366-CC

APPEARANCES:
William McMillian, Pro Se Petitioner.
 

ORDERS:

ORDER AND DECISION

This matter comes before me on the application of William McMillian for an on-premises beer and wine permit and for a restaurant minibottle license for The Pub located at 559 Frazier Street in Florence, South Carolina. After notice to the parties and protestors, a hearing was conducted on January 11, 1995. No protestors appeared at the hearing. Based upon the evidence and testimony provided, I make the following:

FINDINGS OF FACT

1. The applicant, William McMillian, is a fifty year old life long resident of the State and is a legal resident of the United States.

2. He has been convicted of breach of trust in 1978 and other minor misdemeanors in 1983 and 1984. In May 1994, he denies being convicted of a driving under the influence charge, although he admits being arrested for that offense. Although the Florence Police protested the application, no one appeared at the hearing. He is a person of good moral character.

3. No license for the sale of beer and wine has ever been issued to McMillian and there have been no violation of laws relating to the sale of beer and wine.

4. The proposed location is 559 Frazier Street in Florence. This is primarily a residential area with a few businesses. The location has not been open but the anticipated hours of operation will be 12:00 noon to 1:00 a.m. Tuesday through Saturday. The Pub can accommodate 60 people and will serve sandwiches. The investigative report indicates that the business does not have a fully equipped kitchen or a Grade A restaurant rating from the Health Department. There was no evidence to refute this.

5. The location is not near any schools, churches, or playgrounds. There is a convenience store in the area that sells beer and wine to go. Other locations in the vicinity also sell beer and wine to go.

6. The business will be operated by McMillian and Thaddeus Barr. Mr. Barr is of good moral character.

7. Notice of the application was posted at the location and published in The Florence Morning News for the required time period.

CONCLUSIONS OF LAW

1. The Administrative Law Judge Division is vested with the powers, duties and responsibilities exercised by the former Alcoholic Beverage Control Commission and hearing officers pursuant to Chapter 23 of Title 1. S.C. Code of Laws § 61-1-55 (Supp. 1993).

2. S.C. Code § 61-9-320 (Supp. 1993) provides the statutory requirements for the issuance of beer and wine permits. It states:

No permit authorizing the sale of beer or wine may be issued unless:

(1) The applicant, any partner or co-shareholder of the applicant, and each agent, employee, and servant of the applicant to be employed on the licensed premises, are of good moral character.

(2) The retail applicant is a legal resident of the United States and has been a legal resident of this State for at least thirty days before the date of application and has maintained his principal place of abode in South Carolina for at least thirty days before the date of applicant.

(3) The wholesale applicant is a legal resident of the United States and has been a legal resident of this State for at least thirty days before the date of application and has maintained this principal place of abode in South Carolina for at least thirty days before the date of application or has been licensed previously under the laws of this State.

(4) The applicant, within two years before the date of applicant, has not had revoked a beer or a wine permit issued to him.

(5) The applicant is twenty-one years of age or older.

(6) The location of the proposed place of business of the applicant is in the opinion of the department a proper one. The department may consider, among other factors, as indications of unsuitable location, the proximity to residences, schools, playgrounds and churches. This item does not apply to locations licensed before its effective date.

(7) Notice of application has appeared at least once a week for three consecutive weeks in a newspaper most likely to give notice to interested citizens of the county, city, or community in which the applicant proposes to engage in business. The department shall determine which newspapers meet the requirements of this section based on available circulation figures. However, if a newspaper is published within the county and historically has been the newspaper where the advertisements are published, the advertisements published in that newspaper meet the requirements of this section. Applicants for a beer or wine permit and an alcoholic liquor license may use the same advertisement for both if it is approved by the department.

(8) Notice has been given by displaying a sign for fifteen days at the site of the proposed business.

The sign must:

(a) state the type of permit sought;

(b) tell an interested person where to protest the application;

(c) be in bold type;

(d) cover a space at least eleven inches wide and eight and one-half inches high;

(e) be posted and removed by an agent of the department.

3. There is no single criterion or standard for determining the meaning of the term "good moral character" and the licensing authority must judge whether the acts and conduct shown are sufficient in themselves or as an index to character to disqualify an applicant. 1969 Atty. Gen. Op. 2709 at 160; 48 C.J.S. Intoxicating Liquors § 135(b) at 243. A liquor license may be refused a person who has been convicted of a crime or crimes, particularly a violation of the liquor laws. Wall v. S.C. ABC Commission, 269 S.C.13, 235 S.E.2d 806 (S.C. 1977). The Division would not be justified in refusing a license based simply upon a "moral appraisal", or because the previous misconduct is not relevant to the conduct of the business for which the license is sought. 1969 Atty. Gen. Op. 2709 at 160. The misdemeanor crimes of which McMillian have been convicted do not relate to any liquor laws. The convictions also occurred over ten (10) years ago and are not current to warrant a finding that he lacks good moral character.

4. S.C. Code § 61-5-50 (Supp. 1993) provides the criteria for the issuance of a sale and consumption license. It states:

No permit authorizing the sale of beer or wine may be issued unless:

(1) The applicant, any partner or co-shareholder of the applicant, and each agent, employee, and servant of the applicant to be employed on the licensed premises, are of good moral character.

(2) The retail applicant is a legal resident of the United States and has been a legal resident of this State for at least thirty days before the date of application and has maintained his principal place of abode in South Carolina for at least thirty days before the date of applicant.

(3) The wholesale applicant is a legal resident of the United States and has been a legal resident of this State for at least thirty days before the date of application and has maintained this principal place of abode in South Carolina for at least thirty days before the date of application or has been licensed previously under the laws of this State.

(4) The applicant, within two years before the date of applicant, has not had revoked a beer or a wine permit issued to him.

(5) The applicant is twenty-one years of age or older.

(6) The location of the proposed place of business of the applicant is in the opinion of the department a proper one. The department may consider, among other factors, as indications of unsuitable location, the proximity to residences, schools, playgrounds and churches. This item does not apply to locations licensed before its effective date.

(7) Notice of application has appeared at least once a week for three consecutive weeks in a newspaper most likely to give notice to interested citizens of the county, city, or community in which the applicant proposes to engage in business. The department shall determine which newspapers meet the requirements of this section based on available circulation figures. However, if a newspaper is published within the county and historically has been the newspaper where the advertisements are published, the advertisements published in that newspaper meet the requirements of this section. Applicants for a beer or wine permit and an alcoholic liquor license may use the same advertisement for both if it is approved by the department.

(8) Notice has been given by displaying a sign for fifteen days at the site of the proposed business.

The sign must:

(a) state the type of permit sought;

(b) tell an interested person where to protest the application;

(c) be in bold type;

(d) cover a space at least eleven inches wide and eight and one-half inches high;

(e) be posted and removed by an agent of the department.

The applicant does not meet all of these requirements. There is no evidence that McMillian conducts a business engaged primarily and substantially in the preparation of meals.

5. ABC Regulation 7-19 provides certain requirements for the preparation and service of food for establishments applying for sale and consumption licenses. It requires that:

A. Any business establishment that applies for or holds a sale and consumption license pursuant to § 61-5-20(4) of the Code and is not engaged in the furnishing of lodging, must:

1. Be equipped with a kitchen that is utilized for the cooking, preparation, and serving of meals; and

2. Have readily available to its guests and patrons either "menus" with the listings of the various meals offered for service or a listing of available meals and foods, posted in a conspicuous place readily discernible by the guest or patrons; and

3. Prepare for service to customers hot meals at least once each day the business establishment chooses to be open.

4. If such establishment advertises, a substantial portion of its advertising must be devoted to its good services.

B. The following definitions shall be used in conjunction with § 61-5-20(4) of the Code and this Regulations:

1. "Meal" means an assortment of various prepared foods which shall be available to guests on the licensed premises during the normal "mealtimes" which occur when the licensed business establishment is open to the public. Sandwiches, boiled eggs, sausages and other snacks prepared off the licensed premises but sold thereon, shall not constitute a meal.

2. "Kitchen" means a separate and distinct area of the business establishment that is used solely for the preparation, serving and disposal of solid foods that make up meals. Such area must be adequately equipped for the cooking and serving of solid foods, and the storage of same.

3. "Primarily" means that the serving of meals by a business establishment constitutes a regular and substantial source of business to the licensed establishment and that meals shall be served upon the demand of guests and patrons during the normal "mealtimes" which occur when the licensed business establishment is open to the public and that an adequate supply of food is present on the licensed premises to meet such demand.

The evidence reveals that The Pub does not have a full kitchen that meets the requirements of the regulation and there is no evidence that there are menus.

6. The applicant meets the statutory requirements for the issuance of a beer and wine permit.

ORDER

Based upon the Findings of Fact and Conclusions of Law, William McMillian is entitled to the issuance of an on-premises beer and wine permit for The Pub located on Frazier Street in Florence, South Carolina. The Pub does not meet the requirements for a business engaged primarily and substantially in food preparation and service. McMillian must present proof to the Department that the location meets the criteria before a restaurant minibottle license is issued. It is therefore,

ORDERED, that the Department of Revenue and Taxation shall issue a beer and wine permit to William McMillian. The application for a restaurant minibottle license is denied until McMillian is able to establish to the Department that the location meets the requirements of Section 61-5-50 and ABC Regulation 7-19.

AND IT IS SO ORDERED.



__________________________

ALISON RENEE LEE

Administrative Law Judge



January _____, 1995

Columbia, South Carolina.


Brown Bldg.

 

 

 

 

 

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