ORDERS:
ORDER AND DECISION
This matter comes before me pursuant to S.C. Code §61-1-55 (Supp. 1993) and §1-23-310
et seq. upon a request for a hearing by the respondent upon being cited for an alleged administrative
violation by a SLED agent against the sale and consumption license of Debra J. Stancil on or about
December 16, 1993. DOR assessed a monetary penalty or suspension of the petitioner's license for
the alleged violation. A hearing was held on May 13, 1994. No violation is found and the citation
is dismissed.
FINDINGS OF FACT
By a preponderance of the evidence, I find:
(1) The petitioner holds a sale and consumption license at One Carlton Avenue, Greenville,
South Carolina, AI 92572, at a private club and non-profit organization known as the Shack, Inc.
(2) Notice of the time, date, place, and subject matter of the hearing was given to the
petitioner, SLED, and DOR.
(3) On Thursday, December 16, 1993, Agent Elizabeth Cook, an agent with the SLED
Alcohol Enforcement Unit, entered the licensed premises undercover.
(4) When Agent Cook entered the premises, the only two other persons on the premises were
Terry Lee Sharpe, the bartender, and Doug Ellison, a patron and club member.
(5) Upon entering the club, Agent Cook had a conversation with Doug Ellison for a few
minutes, during which time Mr. Ellison asked her questions about her identity and asserted that he
knew her from past circumstances.
(6) Agent Cook introduced herself using her undercover name of "Elizabeth Ashley" and
denied knowing Mr. Ellison.
(7) Mr. Ellison informed Agent Cook that he was a former bail bondsman in Greenville
County.
(8) Agent Cook is a former probation officer in Greenville County, but did not inform Mr.
Ellison.
(9) After a few minutes of conversation with Mr. Ellison, Agent Cook ordered an alcoholic
beverage from the bartender, Ms. Sharpe.
(10) Ms. Sharpe asked Agent Cook if she was a member of the club.
(11) Agent Cook answered that she was not.
(12) Ms. Sharpe refused to serve Agent Cook.
(13) Agent Cook turned to exit the premises after being refused service.
(14) Mr. Ellison offered to sign Agent Cook in as his guest. When she accepted his offer,
he signed her in as "Elizabeth Ashley" in the club sign-in sheet located at the front door.
(15) Agent Cook then ordered an alcoholic beverage and consumed it on the premises.
(16) Agent Guy Jenkins entered the licensed premises after Agent Cook's departure and
issued the citation for an alleged violation of ABC Regulation 7-17(J) for permitting consumption of
liquor by a non-member.
CONCLUSIONS OF LAW
Based upon the foregoing Findings of Fact, I conclude, as a matter of law, the following:
S.C. Code §61-1-55 (Supp. 1993) provides that the South Carolina Administrative Law Judge
Division is empowered to hear all cases previously heard by the former Alcoholic Beverage Control
Commission pursuant to Chapter 23 of Title I of the 1976 Code, as amended.
The Shack operates as a non-profit organization with limited membership, not open to the
general public, serving alcoholic beverages to its members and guests pursuant to S.C. Code §61-5-20(3) (1976) (as amended).
Pursuant to Act 181 of 1993, §1604, of the South Carolina General Assembly, known as the
"Government Restructuring Act",
all regulations promulgated by the Commission and in effect as of July 1, 1993, remain in full force
until modified or rescinded by DOR or SLED.
ABC Regulation 7-17(J), relating to non-profit organizations licensed to sell alcoholic
beverages on-premises, states: "Only bona fide members and bona fide guests of members of such
organizations may consume alcoholic beverages sold in sealed containers of two ounces or less upon
licensed premises." ABC Regulation 7-17(K) defines "bona fide guests" as "... those who accompany
a member onto the premises or for whom the member has made prior arrangements with the
management of the organization."
I conclude that Agent Elizabeth Cook was a bona fide guest accompanied by a bona fide
member of the organization. Agent Cook was refused service when she admitted to being a non-member. Not until she was signed in as a guest by a bona fide member, Doug Ellison, was she
served. Mr. Ellison was acting in good faith, believing to know Agent Cook. He was unable to
determine the basis for her seemingly familiarity because Agent Cook used an alias and failed to
reveal her former occupation as a probation officer. Having been a bail bondsman in the same county,
it is very likely that Mr. Ellison had indeed had past dealings with Agent Cook.
Accordingly, the Shack, Inc. did not violate ABC Regulation 7-17(J).
IT IS THEREFORE ORDERED that the citation be dismissed and that the records of DOR
be marked to indicate that no violation occurred.
___________________________
STEPHEN P. BATES
Administrative Law Judge
June 1, 1994
Columbia, South Carolina |
