SMA RPTR SAYS TWR CLRED HIM FOR THE 'OPTION' DURING AN INST APCH. TECHNICALLY; BEING CLRED FOR AN OPTION PERMITS THE PLT TO EXECUTE A MISSED APCH AT HIS DISCRETION. HOWEVER; ONCE THE ACFT HAS BEEN SIGHTED BY THE TWR; STOCKTON COULD CLR THE NEXT ACFT FOR THE APCH ASSUMING THAT THE RPTR'S APCH WOULD TERMINATE IN A LNDG. ALSO; A TOUCH-AND-GO CANNOT BE MADE INTO SVFR WX. AN SVFR CLRNC OUT OF THE CLASS D MUST BE OBTAINED FIRST.

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I WAS CLRED FOR ILS RWY 25R APCH INTO LVK IN IMC CONDITIONS CIRCLE RWY 7. WHEN BREAKING OUT OF THE CLOUDS AT APPROX 1500 FT; I ASKED LVK TWR FOR AN OPTION TO LAND AND THEN EXECUTE THE MISSED APCH. THEY CHKED WITH SCK APCH AND INFORMED ME THAT THERE WAS IFR TFC BEHIND ME; THUS UNABLE TO GIVE THE MISSED APCH. I WAS THEN CLRED FOR THE OPTION WHICH I MADE AND ASKED FOR A VFR DEP TO THE S (WHICH WAS VFR). LVK THEN RPTED UNABLE DUE TO ARPT BELOW MINIMUMS; THEN STATED 'MAINTAIN SVFR CONDITIONS; WHAT ARE YOUR INTENTIONS?' I REPLIED I WOULD RETURN FOR LNDG AND PICK UP A CLRNC BACK TO OAK WHICH WAS RPTING 4500 FT AND 20 MI VISIBILITY (APPROXIMATION OF VISIBILITY). AFTER LNDG; GND INSTRUCTED ME TO CALL THE TWR ON THE TELEPHONE. HE (ATC) WAS CONCERNED THAT I DIDN'T LAND INSTEAD OF EXECUTING THE OPTION. I REPLIED I WAS CLRED FOR THE OPTION WHICH HE DISAGREED ON. I APOLOGIZED FOR CONFUSING MATTERS AND ADMITTED I SHOULD HAVE JUST LANDED AND PICKED UP A CLRNC FOR OAK. HE SAID HE WOULDN'T TAKE ANY ACTION. WE THEN FILED A TWR ENRTE; DEPARTED IFR; CANCELED AFTER VFR ON TOP AND LANDED IN OAK. THE REASON FOR THE CONFUSION WAS DUE TO BEING CLRED FOR THE OPTION. HOWEVER; IN RETROSPECT; I SHOULD REALIZE IN THE CASE OF AN ARPT RPTING IFR; I SHOULD HAVE LANDED AND CLARIFIED IT ON THE GND. THE CONDITIONS AT THE TIME ALTHOUGH RPTING IFR WERE SUCH THAT SVFR COULD AND WAS MAINTAINED AFTER THE TOUCH- AND-GO. THE REASON I ASKED TO DEPART TO THE S VFR WAS BECAUSE I HAD JUST PICKED UP OAK ATIS AND THEY WERE RPTING 4500 FT AND VISIBILITY (DON'T REMEMBER). WE COULD EASILY SEE THAT ON SHORT FINAL AT LVK THAT THE S WAS CLRLY VFR; AND IT WAS FOR THIS REASON I THEN ASKED (AFTER BEING DENIED MISSED APCH DUE TO INBOUND TFC ON THE ILS RWY 25R LVK) FOR A DEP TO THE S IN ORDER TO 'SNEAK' OUT VFR TO OAK. AGAIN; AFTER BEING DENIED; I RPTED I WOULD RETURN IN THE PATTERN TO LAND AND PICK UP A CLRNC FROM GND FROM WHICH I DID. ATC WAS VERY CORDIAL AND STATED NOTHING WOULD BE DONE (ANY ACTION). HOWEVER; HE DID ASK ME WHERE I WAS BASED (OAK) AND MY NAME; WHICH HAS PROMPTED ME TO WRITE THIS STATEMENT.