Game room owners sue Penn, city

A federal jury will decide later this year whether the University and the Philadelphia Department of Licenses and Inspections violated University Pinball's and University Coin Laundry's constitutional rights in shutting down the businesses last month after accusing them of creating a public and private nuisance. The owners of the establishments filed a lawsuit April 24 in U.S. District Court claiming that the defendants had no just cause for the closing and never notified the plaintiffs before revoking their operating licenses, actions the plaintiffs say violated their due-process rights under the 14th Amendment. The suit -- which names L & I, L & I Director of Business Regulatory Enforcement Rudolph Paliaga, the University and Director of Police Operations Maureen Rush as defendants -- seeks in excess of $100,000 in damages in addition to punitive damages. Although a temporary agreement between the parties reopened the laundromat and game room at 40th and Spruce streets April 25, U.S. District Court Judge Marvin Katz ordered the city to conditionally restore the owners' business privilege licenses last week. When the city closed the game room several weeks ago, Penn officials said they had worked closely with the District Attorney's office to close the business, which they said brought criminal activity to the area. Ron Shaffer, an attorney representing the plaintiffs, William Schoepe, Sr. and his sons William Schoepe, Jr. and Robert Schoepe -- who own the game room and laundromat, as well as several other properties in the vicinity of 40th and Spruce streets -- declined to comment on the lawsuit, explaining that "the complaint speaks for itself." University officials and attorneys also generally refused comment on the lawsuit's charges, but they said they were eager to resolve the problems with the businesses. The lawsuit alleges that the University wished to "coerce plaintiffs to sell their property" in working with the city to shut down the establishments. According to the suit, the troubles began last fall when Rush threatened Robert Schoepe with having the city revoke the Schoepes' operating licenses for the businesses if the plaintiffs did not act on alleged curfew violations occurring in the arcade. The lawsuit maintains that the businesses regularly notify patrons 30 minutes before the 10:30 p.m. curfew that they must show proper identification or leave at that time. Rush, Fry and other University officials met with Robert Schoepe in October 1996 and again threatened him with L & I action unless he "voluntarily closed the arcade and laundromat and put other businesses in the properties," the suit states. In a letter to the Schoepes' attorney dated Nov. 14, 1996, Penn Associate General Counsel Roman Petyk apologizes for "any misunderstandings" resulting from that meeting but argues that the University will not "shirk [its] responsibilities" to students and the community. The letter is one of the exhibits plaintiffs' attorneys included with the complaint. The lawsuit further alleges that the University in January expressed interest in purchasing "all of the Schoepe family properties located on the 4000 block of Spruce Street," but after "discussions concerning the price," the University did not make an offer. Under the terms of Katz's order, the arcade will close between 2 a.m. and 8 a.m. each day, and the plaintiffs will "have a responsible adult present" to enforce the city's curfew law. In addition, L & I cannot take further action against the plaintiffs "without prior notification in writing and a reasonable opportunity for plaintiffs to respond in accordance with applicable procedures," Katz's order states.

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