People stand in the surf.
The people are in the water outside.
the surf is made of water
exists e1 x1 x2.(n_surf(x2) & in(e1,x2) & Actor(e1,x1) & v_stand(e1) & n_people(x1))
exists p1 x1 x2 x3.(n_outside(x2) & of(x2,x3) & n_water(x3) & n_people(x1) & in(x1,x2))