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YOU ARE HEREBY SUMMONED and required to answer the Complaint herein, a copy
of which is hereby served upon you, and to serve a copy of your answer to this Complaint upon
the subscriber, at the address shown below, within 30 days after service hereof, exclusive of the
day of such service, and if you fail to timely answer the Complaint, judgment by default or
otherwise will be rendered against you for the relief demanded in the Complaint.
May 4, 2023
Pawleys Island, South Carolina
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STATE OF SOUTH CAROLINA IN THE COURT OF COMMON PLEAS
COUNTY OF HORRY FIFTEENTH JUDICIAL CIRCUIT
Resort, LLC, Beach Life Property Management, LLC, Carolinas Holding Company, LLC, Sea
Inc, Gary Weatherford, Constance Doyle, Cameron Herpolshemer and Beverly Shrake (hereinafter
1. Plaintiffs are condominium owners at Sea Mist Resort n/k/a Beach Life Resort located
at 1207 South Ocean Boulevard, Myrtle Beach, South Carolina 29577 (hereinafter “the
Property”).
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2. Upon information and belief, Defendant Beach Life Resort, LLC is a limited liability
company created and existing pursuant to the laws of the State of South Carolina and at all times
relevant hereto performed services and/or conducted business in the County of Horry, State of
South Carolina.
3. Upon information and belief, Defendant Beach Life Property Management, LLC is a
limited liability company created and existing pursuant to the laws of the State of South Carolina
and at all times relevant hereto performed services and/or conducted business in the County of
4. Upon information and belief, Defendant Carolinas Holding Company, LLC is a limited
liability company created and existing pursuant to the laws of the State of South Carolina and
at all times relevant hereto performed services and/or conducted business in the County of
5. Upon information and belief, Defendant Sea Mist Master Homeowners’ Association,
Inc. is a non-profit corporate entity created and existing pursuant to the laws of the State of
South Carolina and at all times relevant hereto performed services and/or conducted business in
Association, Inc. is a non-profit corporate entity created and existing pursuant to the laws of the
State of South Carolina and at all times relevant hereto performed services and/or conducted
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8. Upon information and belief, Defendant Constance Doyle is an adult individual resident
10. Upon information and belief, Defendant Beverly Shrake is an adult individual resident
11. At all times relevant hereto, all of the events complained of occurred in Horry County,
12. Upon information and belief, this Honorable Court has jurisdiction over the issues set
FACTS
13. Plaintiffs are condominium owners at Sea Mist Resort located at 1207 South Ocean
14. Defendant Carolinas Holding Company, LLC is the owner of Commercial Unit 1,
15. Upon information and belief, Beach Life Resort, LLC is the lessee of Commercial Unit
16. Upon information and belief, Defendant Beach Life Property Management, LLC, is the
Property Management Agent retained by Beach Life Resort, LLC to maintain and manage the
Property.
17. The Property is subject to the Declaration of Covenants, Conditions, Easements and
Restrictions for Sea Mist Master Homeowners’ Association (“Sea Mist Master Deed”) filed in
the Horry County Register of Deeds Office on April 6, 2006, at Book 3076, Page 634.
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RELEVANT PROVISIONS OF THE SEA MIST MASTER DEED
18. Insofar as it is relevant to the assertions in this Complaint, Article 1 defines certain terms
a. 1.8. “Master Common Areas” shall mean and refer to those areas of the Land
which are described in Exhibit B attached hereto or which may be designated in
any supplement or amendment to this Declaration submitting additional property,
for the common use and enjoyment by the Owners, Unit Owners and Occupants
of the Development.,, The fee simple title to the Master Common Areas will be
held, subject to the terms of this Declaration, by Declarant until such times as the
same are conveyed to the Association in accordance herewith.
b. 1.19 "Master Common Easements" shall mean and refer to those areas of the Land
or a Building which are described on Exhibit C attached hereto or which may be
designated in any supplement or amendment to this Declaration for the purposes
of i) submitting Additional Property to this Declaration or, ii) designating or
redesignating Master Common Easements within a pre-existing Subordinate
Regime on portions of the common elements which are created on the pre-existing
Subordinate Regime as part of the submission of an additional phase or phases
within or on the common elements of the pre-existing Subordinate Regime. Such
future designation or redesignating of additional Master Common Easements on
the common elements of a pre-existing Subordinate Regime shall be deemed to
be the submission of Additional Property hereunder. All such Master Common
Easements shall be for the common use and enjoyment of the Owners, Unit
Owners and Occupants of the Development. The fee simple title to the Master
Common Easements shall be held by the Owners of the Parcel subject to the
Master Common Easement or by the Unit Owners of a Subordinate Regime
located on a Parcel, in common with other Unit Owners as a portion of the
common elements of such Subordinate Regime. The designation or redesignation
of Master Common Easements, including the removal of such designation from
certain items, improvements, facilities and amenities, in connection with the
submission of portions of the Development to a Subordinate Regime or as an
additional phase of a pre-existing phase of a Subordinate Regime are hereby
permitted. Future Master Common Easements may include, but shall not be
limited to easements over, through, under, across and upon roads, driveways,
walkways, sidewalks, beach access paths, street lighting, signage, pools, pool
areas, lazy rivers, water slides, saunas, wooden decks, volleyball courts, parking
garages or structures, stairways, hallways, lobbies, ballrooms, game rooms,
meeting rooms, exercise rooms, public restrooms, storage areas, elevators, sea
walls, irrigation systems, security systems, fire protection and alarm systems,
trash systems, landscaped areas, open spaces, exterior lighting, exterior surfaces
and non structural components of Buildings, or other components or parts of
Buildings which are designated as common elements under the Master Deed
creating the Subordinate Regime.
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c. 1.11 “Declarant” shall mean and refer to Condo Conversions SM, LLC its
successors and assigned, provided, however, that this definition shall not include
the purchaser, owner or mortgagee of any Parcel or Unit, but only such party to
which such rights are specifically assigned.
d. 1.18 “Occupant” shall mean and refer to any person, including, without limitation,
any Unit Owners, Owner or guest, invitee, licensee, lessee, tenant, transient
paying guest, exchange guest or family member of an Unit Owner or Owner,
lawfully occupying or otherwise using a Unit or all or a portion of a Parcel within
the Development.
f. 1.24 “Subordinate Declaration” shall mean and refer to any master deed recorded
with respect to any Parcel subject to this Declaration submitting that Parcel to the
provisions of the South Carolina Horizontal Property Act.
19. Article 2.7 of the Sea Mist Master Deed states in relevant part:
20. Article 3.1 of the Sea Mist Master Deed additionally states:
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to the terms and conditions of this Declaration, the By-Laws of
the Association, and rules and regulations adopted by the Board
of Directors pursuant to said Bylaws.
21. Article 3.7.1 defines the right of the Declarant and association to:
22. Article 4.2 of the Sea Mist Master Deed additionally states:
23. Exhibit B to the Sea Mist Master Deed states that “There shall be no master Common
24. Exhibit D to the Sea Mist Master Deed contains the Bylaws which control governance
25. The Property is additionally subject to the Master Deed for Tides/Driftwood/Oasis
Horizontal Property Regime (hereinafter the “Tides Master Deed”) filed in the Horry County
26. Defendants Gary Weatherford, Constance Doyle, Cameron Herpolshemer and Beverly
Shrake are the Directors of the Board of the Tides/Driftwood/Oasis Homeowners Association,
Inc.
27. Insofar as it is relevant to the assertions in this Complaint, Article XXXVI defines
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a. “ASSOCIATION” means council of CO-Owners as defined by the Horizontal
Property Act and also means Tides/Driftwood/Oasis Homeowners’ Association,
Inc., the corporate form by which the council of CO-OWNERS shall operate
Tides/Driftwood/Oasis Horizontal Property Regime.
b. “COMMON ELEMENTS”, as the term is used herein, shall mean and comprise
all of the real property, easements, improvements and facilities of the
Condominium including, but not limited to, stairways, elevators, improvements
and facilities of the Condominium including, but not limited to, stairways,
elevators, hallways, pool equipment, telephone lines, television cables, utilities,
and interior loadbearing structures… as same are hereinabove defined or as
described elsewhere in this Master Deed and/or on the plans.
d. LIMITED COMMON ELEMENTS, as the term is used herein shall mean and
comprise the following: (A) The surface areas, railings and/or walls of all balconies
accessible by normal means from the UNIT, immediately adjacent to the UNIT,
which are designed for the exclusive use and benefit of a single UNIT; (B) All water,
power, electricity, plumbing, gas and sewage lines located in the UNIT and serving
that particular UNIT; provided, however, that the portion of said lines located in a
common compartment for, or installation of, such lines shall be COMMON
ELEMENTS as described above; (C) service chutes, which shall be for the exclusive
use and benefit of COMMERCIAL UNIT CU-I; (D) all areas shown on the Plans as
LIMITED COMMON ELEMENTS appurtenant to a particular UNIT, including
without limitation the bridge and stairwell area serving the Penthouse UNIT as shown
on the plans, which are LIMITED COMMON ELEMENTS appurtenant to the
Penthouse UNIT; and (E) any other property or item described as a LIMITED
COMMON ELEMENT in Exhibit "B" to this Master Deed, including, without
limitation: (i) the perpetual, appurtenant, exclusive easement for advertising reserved
over the corridors, passageways, elevators, building exterior, parking areas and other
COMMON ELEMENTS for the exclusive use and benefit of COMMERCIAL UNIT
CU-1 and the OWNER thereof; (ii) the perpetual, appurtenant, exclusive easement
for food and beverage sales and the placement of tables and chairs reserved over the
pool decks, sun decks and other COMMON ELEMENTS for the exclusive use and
benefit of COMMERCIAL UNIT CU-1 and the OWNER thereof; (iii) the perpetual,
appurtenant, exclusive easement for the right to play live and recorded music reserved
over the pool decks, sun decks and other COMMON ELEMENTS for the exclusive
use and benefit of COMMERCIAL UNIT CU-1 and the OWNER thereof during the
times periods set forth in Article XVI hereof and (iv) the perpetual, appurtenant,
exclusive easement over the pool decks, except during limited periods, not to
exceed twelve ( 12) consecutive hours during which other UNIT Owners may be
excluded by the Owner of COMMERCIAL UNIT CU-1 for resort functions and
parties. Provided however, the Owner of COMMERCIAL UNIT CU-1 or its
agents, must post advance notice that a function will be held on such LIMITED
COMMON ELEMENTS in connection with the use and operation of
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COMMERCIAL UNIT CU-1 in order to exclude such other UNIT Owners for
such limited periods. LIMITED COMMON ELEMENTS are intended for the
exclusive use and benefit of the UNIT with which it is associated. In all other
respects, and except as specifically provided in this Master Deed, LIMITED
COMMON ELEMENTS shall be treated as, and included within the definition of the
term "COMMON ELEMENTS". [Emphasis added].
28. Exhibit A to the Master Deed for Tides/Driftwood/Oasis Horizontal Property Regime
contains a non-exclusive, appurtenant easement for the purpose of “parking motorized vehicles
on and within the 508 number of parking spaces and/or structures which may now or hereafter
29. The parking easement established in the Property Description specifically states:
contains a survey and “the Plans” of the Sea Mist Tides/Driftwood/Oasis Horizontal Property
Regime (hereinafter “the Plans”) which show graphically the dimensions, area and location of
each UNIT therein, and the dimensions, area and location of the COMMON ELEMENTS
31. The Plans designate the Limited Common Area to Commercial Unit 1, Commercial Unit
1, and Commercial Unit 2. These designations are represented on the Plans by distinct line
patterns located within the boundaries of the space defined. Please see example below:
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32. The Plans designate the two elevators located in the lobby as being common area.
33. On or about March 31st, 2023, Defendant Beach Life Resort, LLC, sent a letter to all
condominium owners at the Property, attached hereto as Exhibit A, stating in relevant part:
Any Homeowner that rents short term or long term or uses a 3rd
party rental company will need to pay a Commercial Resort Fee
to Beach Life Resort in the amount of $450.00 monthly per unit
by or before May 1, 2023, to have guest use of any Amenities
listed below. This agreement is year to year, once you end
payments the unit is not eligible for reinstatement until arrears
are paid in full…. The resort fee covers the commercial use of
the following:
• Parking Passes
• Pool
• Saunas
• Jacuzzi
• Key cards
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• Elevators
• Luggage Carts.
34. Defendants have, in fact, prevented the use of the above referenced amenities by those
unit owners who do not utilize Defendant Beach Life Property Management, LLC as their
35. Plaintiffs have suffered, and will continue to suffer, actual, consequential, and resulting
36. Plaintiffs hereby restate and reallege each and every allegation contained in the preceding
37. Plaintiffs have a clear contractual right, pursuant to the above cited governing documents
of both the Sea Mist Master HOA and the Tides/Driftwood/Oasis HOA, to the use and enjoyment
38. Defendants are attempting, ultra vires, to restrict and/or abolish the use of the above cited
amenities by Unit Owner(s), their immediate families, guests, licensees, and invitees.
39. An actual controversy exists between Plaintiffs and Defendants, and Plaintiffs therefore
requests that the Court determine the rights and obligations as to each party.
40. Plaintiffs hereby restate and reallege each and every allegation contained in the preceding
41. The Board of Directors for Sea Mist HOA and Tides HOA are the regulatory bodies
responsible for governing the Property pursuant to the Master Deed, the Bylaws, and the
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42. Defendants owed a fiduciary duty to the members of the Tides/Driftwood/Oasis
45. As a result of Defendants’ actions, Plaintiffs have suffered actual, consequential, and
46. Plaintiffs hereby restate and reallege each and every allegation contained in the preceding
47. Defendants owed certain duties to Plaintiffs, including to operate in good faith with the
48. Defendants have breached their duties of care and were negligent, grossly negligent, and
acted in a willful and wanton manner in failing to abide by the Master Deed and other governing
documents which bind Tides/Driftwood/Oasis Homeowners Association, Inc. and Sea Mist
49. It was foreseeable that the acts and omissions of Defendants could cause Plaintiffs’
harm.
50. As a direct and proximate result of the above described, and other acts and/or omissions
on the part of Defendants, Plaintiffs have suffered actual, resulting, incidental, and
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FOR A FOURTH CAUSE OF ACTION
(Violation of South Carolina Unfair Trade Practices Act – All Named Defendants)
51. Plaintiffs hereby restate and reallege each and every allegation contained in the preceding
52. Defendants’ actions of failing to perform their fiduciary duties pursuant to the Master
Deed and other governing documents and applicable law, breach of contract, and negligence
constitute an unfair or deceptive trade practice pursuant to S.C. Code Ann. § 39-5-10.
53. Defendants’ actions are capable of repetition and affect the public interest.
54. As a direct and proximate result of Defendants’ violation of the South Carolina Unfair
Trade Practices Act, Plaintiffs have suffered actual, consequential, and resulting damages in an
55. Plaintiffs hereby restate and reallege each and every allegation contained in the
56. The Master Deeds and Covenants, Conditions, and Restrictions of Sea Mist Master
57. Defendants breached multiple provisions within the Master Deed and other governing
58. Due to Defendants’ breaches, Plaintiffs have suffered actual, consequential, and
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FOR A SIXTH CAUSE OF ACTION
(Intentional Interference with a Contract)
59. Plaintiffs hereby restate and reallege each and every allegation contained in the
60. Defendants know, or should know, that Plaintiffs have active contracts for the rental of
their Units.
61. Included in these contracts are express and implied rights granted to the tenant for the
62. Defendants have intentionally interfered with the contracts to their benefit and to the
63. Defendants’ actions were willful, wanton, malicious, and intentional and were for the
purpose of procuring direct financial gain to Defendants and to the detriment of Plaintiffs.
64. As a result of Defendants’ actions, Plaintiffs have suffered actual, consequential, and
65. Plaintiffs are entitled to reasonable attorney’s fees and punitive damages.
66. Plaintiffs hereby restate and reallege each and every allegation contained in the
67. Defendants agreed, between and among themselves, to engage in actions and a course
of conduct designed to further an illegal act or accomplish an illegal act by unlawful means, and
to commit one or more overt acts in furtherance of the conspiracy to defraud the Plaintiffs.
68. The actions of the Defendants were committed intentionally, willfully, wantonly, and
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69. As a direct and proximate result of the actions of the Defendants in combination resulting
in breaches of fiduciary duties, negligence, and intentional interference with contracts, Plaintiffs
70. As a result of Defendants’ actions, Plaintiffs have suffered actual, consequential, and
71. Upon information and belief, Plaintiffs are entitled to an award of punitive damages and
72. Plaintiffs hereby restate and reallege each and every allegation contained in the
Herpolshemer, and Defendant Beverly Shrake have co-mingled Association funds with accounts
unrelated to the Association including without limitation accounts of co-Defendants Beach Life
75. Above-referenced Defendants’ actions were for the purpose of direct or indirect financial
76. Failure to hold the individual Board members individually liable will result in injustice or
fundamental unfairness.
77. As a result of Defendants actions, Plaintiffs have suffered actual, consequential, and
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FOR A NINTH CAUSE OF ACTION
(Injunction – Temporary and Permanent)
78. Plaintiffs hereby restate and reallege each and every allegation contained in the
79. Defendants’ actions of preventing Plaintiffs’ guests, licensees, and invitees pose a
80. As set forth above, Plaintiffs maintains that injunctive relief is reasonably necessary to
81. Plaintiffs will suffer immediate, irreparable harm without injunctions. This is a time
sensitive matter and immediate attention is required in order to prevent continued interference with
82. Plaintiffs have an extremely high likelihood of success on the merits. Plaintiffs’ rights to
utilize the Property, as discussed above, are clearly set out in the governing documents of both
83. Plaintiffs have limited methods of recourse, as Defendants are currently in possession and
control of practically all of the Associations’ common property by way of a security team paid for
by the Tides/Driftwood/Oasis Homeowners’ Association, Inc. for the benefit of the same. Given
the time sensitive nature of short-term rentals, Plaintiffs stand to lose substantial future profits,
good will, and property valuation should an injunction not be immediately granted.
84. Thus, Plaintiffs petition this Court to grant Plaintiffs’ injunction and require Defendants to
allow Plaintiffs, their guests, licensees, and invitees, to utilize the same amenities and services as
those homeowners which do not rent or which use Defendant Beach Life Property Management,
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WHEREFORE, Plaintiffs pray for a temporary and permanent injunction and certain
restraining orders; Plaintiffs pray that the Court inquire into the matters set forth above, enter a
Declaratory Judgment in Plaintiffs’ favor, and against Defendants, finding that Defendants have
an obligation to immediately allow the use and enjoyment of all Unit owners, their guests, families,
licensees, and invitees, to Parking Passes, Pool, Saunas, Jacuzzi, Key cards, Elevators, Luggage
Carts, and request a judgment in Plaintiffs’ favor, and against Defendants, jointly and severally,
for actual, consequential, resulting, and punitive damages and to treble their actual damages
pursuant to S.C. Code Ann § 39-5-10, for costs, attorney’s fees, and any other relief that this court
Respectfully submitted,
WINLSOW LAW, LLC.
s/ Jamie W. Morehead
Jamie W. Morehead (S.C. Bar 105215)
Thomas W. Winslow (S.C. Bar 73584)
11019 Ocean Hwy
Pawleys Island, SC 29585
T: (843) 357-9301
F: (843) 357-9303
jamie@winslowlawyers.com
tom@winslowlawyers.com
ATTORNEYS FOR PLAINTIFFS
May 4, 2023
Pawleys Island, South Carolina
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