Charleston Development Company, LLC v. Alami

CourtCourt of Appeals of South Carolina
DecidedJune 2, 2021
Docket2018-001766
StatusPublished

This text of Charleston Development Company, LLC v. Alami (Charleston Development Company, LLC v. Alami) is published on Counsel Stack Legal Research, covering Court of Appeals of South Carolina primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Charleston Development Company, LLC v. Alami, (S.C. Ct. App. 2021).

Opinion

THE STATE OF SOUTH CAROLINA In The Court of Appeals

Charleston Development Company, LLC, Charleston Housing Company, LLC and NotSo Hostel, LLC, Appellants,

v.

Younesse Alami, Simon M. Adell, Matthew Anderson, Matthew Asher, Daniel Baker, Marie Baker, Matthew and Christina Bare, Andre Bauer, Peter Bierce, Brandon Blount, Barbara Brass, Richard T. Brewer, Sigrid Anne Eilertson, Reginald P. Brown, IV, Mary Cahill, Ryan Cockrell, Kevin and Virginia Conlon, Anne Marie Crevar, Christina Cross, Darryl J. Damico, Labar Daniel, Stephen Darwak, Lindsay Davenport, Mary Dickerson, Maxwell Streeter, Kathleen Dougherty, David Dressman, Anna Dressman, Michael Elder, Christopher Scott Farley, Michele Ghastin, Timnah Giller, Virginia Geller, Ryan Gilreath, Sonya Gilreath, Kimberly Glenn, Shaun Halsor, Josephine Rex, Arthur Halvorson, Andrew Halvorson, Linda Hancock, Laura Hyatt, Mike Hartel, Nathan Herring, James Hicks, Jr., Laurie Hicks, Preston G. Hipp, Colin Jones, Matthew F. Jones, Robert C. Jones, Robin Joseph, Molly Keeler, John Kenny, Mandi Walters, Abigail King, Aaron Kless, Laurie Kramer, Robert Kramer, Allison Kreutzer, Benjamin Levitt, Richard Levitt, Jesse Lutz, Nikou Manouchehri, Thomas Naselaris, Zoe Naselaris, Beau O'Steen, Cori O'Steen, Lance Parr, Brandon Perdue, Amanda Lee Raymer, Hadassah Rothenberg, Daniel Ryan, Kimberly Bowlin, Kevin Schnittker, Ginger Scofield, Inderjit Singh, Avtar Singh, Alecia Stevens, Lee Stevens, Justin Swan, Merrick Teichman, John Van Vlack, Jr., William Waterhouse, Jennifer Waterhouse, Anne Wohlfeil, Bryan Young, AJB Trust, Anthony & Jacqueline Bradley, Trustees, Hartshorn Family Trust, Helene Kenny/Bridget Kenny Revocable Trust, Wilhelmina M. Wieters Life Estate Childrens Trust, 33 Bogard Street LLC, 249 Cumming, LLC, 253 Coming Street LLC, 259 East Bay LLC, 259 East Bay 10 B LLC, 272 D Coming St. LLC, Café International, Inc., Corner At Old Canton, LLC, Geer Interests LLC, Kit Properties LLC, Lambert-Weiss LLC, The Naws LLC, New Lease Capital LLC, One Henrietta LLC, Periwinkle Partners, LLC, Porch Properties LLC, Westbury Properties, LLC, and Westendorff Hardware LLC, Defendants,

Of whom Younesse Alami, Simon M. Adell, Matthew Anderson, Matthew Asher, Andre Bauer, Peter Bierce, Brandon Blount, Reginald P. Brown, IV, Mary Cahill, Ryan Cockrell, Kevin and Virginia Conlon, Anne Marie Crevar, Darryl J. Damico, Stephen Darwak, Lindsay Davenport, Mary Dickerson, Maxwell Streeter, Kathleen Dougherty, David Dressman, Anna Dressman, Michael Elder, Christopher Scott Farley, Michele Ghastin, Ryan Gilreath, Sonya Gilreath, Kimberly Glenn, Shaun Halsor, Josephine Rex, Laura Hyatt, Nathan Herring, James Hicks, Jr., Laurie Hicks, Preston G. Hipp, Colin Jones, Matthew F. Jones, Robert C. Jones, Robin Joseph, Molly Keeler, John Kenny, Abigail King, Aaron Kless, Laurie Kramer, Robert Kramer, Allison Kreutzer, Jesse Lutz, Thomas Naselaris, Zoe Naselaris, Beau O'Steen, Cori O'Steen, Lance Parr, Brandon Perdue, Hadassah Rothenberg, Daniel Ryan, Kimberly Bowlin, Kevin Schnittker, Ginger Scofield, Alecia Stevens, Justin Swan, Merrick Teichman, John Van Vlack, Jr., William Waterhouse, Jennifer Waterhouse, Anne Wohlfeil, Bryan Young, Helene Kenny/Bridget Kenny Revocable Trust, 259 East Bay LLC, 259 East Bay 10 B LLC, Corner At Old Canton, LLC, Kit Properties LLC, The Naws LLC, One Henrietta LLC, Periwinkle Partners, LLC, Porch Properties LLC, Westbury Properties, LLC, and Westendorff Hardware LLC, are the Respondents.

Appellate Case No. 2018-001766 Appeal From Charleston County R. Markley Dennis, Jr., Circuit Court Judge

Opinion No. 5826 Heard April 15, 2021 – Filed June 23, 2021

AFFIRMED

Sean Kevin Trundy, of Sean Kevin Trundy, LLC, of Charleston, for Appellants.

Mallary Lauren Scheer, of Mallary L. Scheer, Attorney at Law, LLC, of Charleston; Michael Ashley Whitsitt, of The Whitsitt Law Firm, of Mount Pleasant; Nancy Bloodgood, of Bloodgood & Sanders, LLC, of Mount Pleasant; Lucy Clark Sanders, of Bloodgood & Sanders, LLC, of Mount Pleasant; Mary Lee Briggs, of Briggs & Inglese, LLC, of North Charleston; Gregory Kenneth Voigt, of Voigt Murphy, LLC, of Charleston; David B. Marvel, of Marvel Et Al, LLC, of Charleston; Christopher L. Murphy, of Murphy Law Offices, LLC, of Charleston; Daniel Carson Boles, of Boles Law Firm, LLC, of Charleston; and Stafford John McQuillin, III, of Haynsworth Sinkler Boyd, PA, of Charleston, all for Respondents.

THOMAS, J.: This appeal arises from multiple lawsuits against property owners in Charleston alleging the owners' illegal short-term rental businesses damaged the legal short-term rental businesses of Charleston Development Company, LLC, Charleston Housing Company, LLC, and NotSo Hostel, LLC, (collectively, Appellants). Appellants appeal the trial court's grant of summary judgment to all defendants (some of whom are Respondents), arguing the trial court erred in granting summary judgment against their (1) claim under City of Charleston Ordinance § 54-905; (2) claim for violation of the South Carolina Unfair Trade Practices Act (SCUTPA); and (3) nuisance claim. They also argue they are entitled to the video-taped depositions of Respondents. We affirm. FACTS

In 2012, the City of Charleston created a special overlay zone district to allow for short-term rentals via Ordinance § 54-120 and Ordinance § 54-202.1 Most other areas of the City prohibit short-term rentals. The City's zoning ordinance defines a short-term rental as a lease in duration between 1 and 29 days.

Appellants filed four lawsuits in 2015 alleging Respondents violated the City's zoning ordinance regarding short-term rentals. Appellants asserted Respondents' unlicensed businesses damaged Appellants because Respondents competed unfairly with Appellants' businesses and other legally-operating short-term businesses, which cost Appellants income. They asserted the unlicensed businesses displaced residents and drove up the cost of housing. Appellants further asserted Respondents' businesses constituted a nuisance because they deprived Appellants of the full financial enjoyment of their properly-licensed properties.

After being transferred to the Business Court Pilot Program, the court granted summary judgment to Respondents in all four cases based on Appellants' lack of standing and allowed Appellants to amend and consolidate their complaints. Appellants filed an amended complaint, alleging causes of action for nuisance, unjust enrichment, and violations of the City's zoning ordinance and the SCUTPA.2

Respondents filed a joint motion for summary judgment. After a hearing, the trial court granted summary judgment to Respondents on all of Appellants' causes of action. The trial court found Appellants had not appealed any decision of the City of Charleston Zoning Administrator to the City of Charleston Board of Zoning Appeals. The court also found there was no contractual relationship between the parties, Appellants were not affected in any personal and individual manner, and Appellants were not damaged any more than any other property owner who legally rented their property on a short-term basis. Further, the court found Appellants lacked standing to sue because none of them were adjacent or neighboring property owners to Respondents.

1 According to Appellants, prior to 2012 "no non-hotel private property owners, with the exception of a few bed & breakfast operators, were allowed to rent out their property for less than 30 days at a time." 2 Appellants do not appeal the grant of summary judgment on their unjust enrichment cause of action. Appellants' motion for reconsideration was denied without a hearing. This appeal followed.

STANDARD OF REVIEW

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Charleston Development Company, LLC v. Alami, Counsel Stack Legal Research, https://law.counselstack.com/opinion/charleston-development-company-llc-v-alami-scctapp-2021.