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Administrative Law Court
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SC Administrative Law Court Decisions

CAPTION:
South Edisto, Inc., d/b/a South Edisto Social Club vs. SCDOR

AGENCY:
South Carolina Department of Revenue

PARTIES:
Petitioners:
South Edisto, Inc., d/b/a South Edisto Social Club

Respondents:
South Carolina Department of Revenue
 
DOCKET NUMBER:
99-ALJ-17-0220-CC

APPEARANCES:
Mary Kiser, President
for Petitioner

Arlene Hand
Attorney for Respondent

Jacqueline Bolton
Protestant
 

ORDERS:

ORDER AND DECISION

This matter comes before me pursuant to S.C. Code Ann. § 61-2-260 (Supp. 1998) and S.C. Code Ann. §§ 1-23-310, et seq. (Supp. 1998) upon Petitioner's request for a contested-case. Petitioner seeks an on-premises beer and wine permit and a minibottle license for a social club located at 5625 Canon Bridge Road, Cope, South Carolina.

After timely notice to the parties and the protestants, a hearing was held on July 12, 1999, at the Administrative Law Judge Division in Columbia, South Carolina. Protestant Herbert Williams failed to appear at the hearing. Protestant Jacqueline Bolton appeared at the hearing but did not move to intervene as a party.

The issues considered at the hearing were: (1) Petitioner's eligibility to hold a beer and wine permit, and minibottle license (2) the suitability of the proposed location. The on-premises beer and wine permit and minibottle license are hereby 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. Petitioner seeks an on-premises beer and wine permit and a minibottle license for a social club located at 5625 Canon Bridge Road, Cope, South Carolina.

2. Petitioner and another individual own the building that houses the social club. This location was previously licensed under several different names and operated by various other individuals.

3. Petitioner incorporated the club as a non-profit organization on November 24, 1998. The stated purpose of the club is to provide opportunities for club members to join together in social and fraternal endeavors for their mutual benefit.

4. Petitioner operates the club Wednesday through Saturday from 6:00 a.m. "until" and Sunday from 2:00 p.m. to 7:00 p.m.

5. The club is located in a rural area outside the city of Orangeburg. A used car lot and several residences are in the vicinity of the club. No church, school, or playground is within close proximity to the proposed location.

6. Petitioner is of good moral character. The State Law Enforcement Division completed a criminal background investigation of Petitioner. The SLED report revealed no criminal violations, and the record before this tribunal does not indicate that Petitioner has engaged in acts or conduct that imply the absence of good moral character.

7. Petitioner is at least twenty-one years of age, a U.S. citizen, and a citizen of the State of South Carolina. Furthermore, Petitioner has maintained her principal residence in the state for at least thirty days prior to the date of making application for an on-premises beer and wine permit and minibottle license.

8. Petitioner has not had a beer and wine permit or alcoholic beverage license revoked within two years of the date of her application.

9. Notice of the application appeared in the Times and Democrat, a newspaper of general circulation in the area of the proposed location, once a week for three consecutive weeks, and notice was posted at the proposed location for fifteen days.

10. Ms. Bolton opposes the permit because of problems with litter and noise that she experienced when the club was operated under its previous management. Ms. Bolton conceded that she has not experienced any problems with the club during the seven months that Ms. Kiser has operated the club.

11. The Department does not oppose Petitioner's application and would have issued the permit and license but for the protest.



CONCLUSIONS OF LAW AND DISCUSSION

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

1. S.C. Code Ann. § 61-2-260 (Supp. 1998), S.C. Code Ann. § 1-23-600(B) (Supp. 1998) and S.C. Code Ann. § 1-23-310 (Supp. 1998) authorize the South Carolina Administrative Law Judge Division to hear this case.

2. S.C. Code Ann. § 61-4-520 (Supp. 1998) establishes the criteria for the issuance of a beer and wine permit.

3. S.C. Code Ann. § 61-6-1820 (Supp. 1998) establishes the criteria for the issuance of a minibottle license.

4. Although "proper location" is not statutorily defined, broad discretion is vested in the Administrative Law Judge Division in determining the fitness or suitability of a particular location. See Fast Stops, Inc. v. Ingram, 276 S.C. 593, 281 S.E.2d 118 (1981).

5. As the trier of fact, an administrative law judge is authorized to determine the fitness or suitability of the proposed location of an applicant for a permit to sell alcohol using broad, but not unbridled discretion. See Byers v. South Carolina ABC Comm'n, 281 S.C. 566, 316 S.E.2d 705 (Ct. App. 1984).

6. The determination of the suitability of a location is not necessarily a function of geography alone. It involves an infinite variety of considerations related to the nature and operations of the proposed location 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. South Carolina ABC Comm'n, 276 S.C. 138, 276 S.E.2d 308 (1981).

7. There has been no evidentiary showing that the present location is unsuitable or that the issuance of an on-premises beer and wine permit and minibottle license would have an adverse impact on the surrounding community. While the protestant cited opposition to the issuance of the permit, her opposition was based on prior problems with operators other than Petitioner. The protestant admitted that there have been no such problems since Petitioner began operating the club. The denial of a license or permit to an applicant on the grounds of unsuitability of location is without evidentiary support when relevant testimony of those opposing the requested license or permit consists entirely of opinions, generalities, and conclusions not supported by facts. Taylor v. Lewis, 261 S.C. 168, 198 S.E.2d 801 (1973); Smith v. Pratt, 258 S.C. 504, 189 S.E.2d 301 (1972).

8. Without sufficient evidence of an adverse impact on the community, the 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 Am. Jur. 2d Intoxicating Liquors § 162 (Supp. 1994); 48 C.J.S. Intoxicating Liquors § 119 (1981).

9. Petitioner meets all of the statutory criteria enacted by the South Carolina General Assembly for the issuance of an on-premises beer and wine permit and minibottle license. In making a decision in this matter, this tribunal is constrained by the record before it and the applicable statutory and case law. Because there is insufficient evidence of an adverse impact on the community, and Petitioner meets the applicable statutory criteria, the beer and wine permit and minibottle license must be granted.



ORDER

Based upon the Findings of Fact and Conclusions of Law, it is hereby:

ORDERED that the Department of Revenue shall continue processing Petitioner's application for an on-premises beer and wine permit and minibottle license for 5625 Canon Bridge Road, Cope, South Carolina.

AND IT IS SO ORDERED.



______________________________

JOHN D. GEATHERS

Administrative Law Judge

July 15, 1999

Columbia, South Carolina


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