Guerrero v. Bensalem Racing Ass'n

25 F. Supp. 3d 573, 2014 WL 2547520, 2014 U.S. Dist. LEXIS 76574
CourtDistrict Court, E.D. Pennsylvania
DecidedJune 4, 2014
DocketCivil Action No. 13-7420
StatusPublished
Cited by2 cases

This text of 25 F. Supp. 3d 573 (Guerrero v. Bensalem Racing Ass'n) is published on Counsel Stack Legal Research, covering District Court, E.D. Pennsylvania primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Guerrero v. Bensalem Racing Ass'n, 25 F. Supp. 3d 573, 2014 WL 2547520, 2014 U.S. Dist. LEXIS 76574 (E.D. Pa. 2014).

Opinion

OPINION

SLOMSKY, District Judge.

Table of Contents

I. INTRODUCTION.•.578

II. BACKGROUND.'.578

A. The Complaint..578

B. The State Court Action.580

III. STANDARD OF REVIEW ...581

[578]*578IV. ANALYSIS. 07 00 to

A. The Rooker-Feldman Doctrine Bars Plaintiffs Claims. 07 CO ÍO

B. Plaintiff Does Not Allege a Plausible Sherman Act Claim. 07 OO Ü1

1. Plaintiff Fails to Allege an Antitrust Injury. 07 OO 05

2. Plaintiff Fails to Allege an Unreasonable Restraint of Competition 07 CO

3. Plaintiff Fails to Allege a Conspiracy to Eject Him for Ten Years 07 OO CO

C. Plaintiff Fails to Allege a Plausible Civil flights Claim.-. 07 CD O

1. Parx is Not a State Actor Because Parx Does Not Have a Symbiotic Relationship With the State . 07 CO

2. Parx is Not a State Actor Because a Sufficiently Close Nexus Does Not Exist Between Pennsylvania’s Racing Laws and the Term of Plaintiffs Ejection. 07 CO CO

3. Plaintiff Fails to Allege that Morell is a State Actor. 07 to 07

D. Tortious Interference Claim. OX co -d

CONCLUSION..598 V.

I. INTRODUCTION

On December 18, 2013, Juan Carlos Guerrero (“Plaintiff’) filed a Complaint against the Bensalem Racing Association, Inc. and Keystone Turf Club, Inc., jointly doing business as Parx Racetrack and Philadelphia Park (“Parx”), Lance Morell, Francis McDonnell, Esquire, the Pennsylvania Thoroughbred Horsemen’s Association, and Michael Ballezzi (all collectively “Defendants”), alleging antitrust and civil rights violations, as well as state claims for tortious interference with contract and business relationships. (Doc. No. 1.) On January 8, 2014, Defendants Bensalem Racing Association, Keystone Turf Club, Lance Morell, and Francis McDonnell, Esquire (the “Parx Defendants”) filed a Motion to Dismiss the Complaint. (Doc. No. 3.) On February 13, 2014, the remaining Defendants, the Pennsylvania Thoroughbred Horsemen’s Association and Michael Ballezzi (the “PTHA Defendants”), also moved to dismiss the Complaint. (Doc. No. 11.) Responses were filed to both Motions which are now ripe for disposition.1

II. BACKGROUND
A. The Complaint

The following facts are taken from the Complaint and are accepted as true for purposes of deciding the Motions to Dismiss. Plaintiff is a licensed thoroughbred race horse trainer who was the leading trainer at Parx racetrack. (Doc. No. 1 at ¶ 1.) Bensalem Racing Association and Keystone Turf Club are the corporate entities that conduct horse racing at Parx. (Id. ¶ 3.) Lance Morell (“Morell”) is the Director of Security for Parx, and Francis McDonnell (“McDonnell”) is Parx’s corporate counsel. (Id. at ¶¶4-5.) The Pennsylvania Thoroughbred Horsemen’s Association (“PTHA”) is an organization that represents the horsemen at Parx, and Michael Ballezzi (“Ballezzi”) is the. PTHAs Executive Director. (Id. at ¶¶ 6-7.)

As of December 20, 2011, Plaintiff had more than forty (40) stalls at Parx, where he quartered horses during meets, free of charge. (Id. at ¶¶ 15-16.) According to Plaintiff, the ability to occupy free stall space gives a competitive advantage to trainers. (Id. at ¶ 15.) Plaintiff was a [579]*579successful race horse trainer. In 2010, his horses earned $2,522,306, and in 2011, his horses earned $3,400,295. (Id. at ¶ 17.) The majority of this money was earned at Parx, where Plaintiff was the leading trainer in terms of races won. (Id.)

According to Plaintiff, his unparalleled success as a horse trainer led competitors and Defendants to suspect him of cheating. (Id. at ¶ 18.) However, none of his horses ever tested positive for illegal drugs. (Id. at ¶ 19.) Plaintiff alleges that despite his clean record, Defendants and other competitors were looking for any pretense to eliminate him from the racetrack. (Id.)

On December 20, 2011, Plaintiff was accused of brushing the buttock of a female employee of the PTHA. (Id. at ¶ 20.) After this incident, Plaintiff was ejected from the racetrack for a period of ten years. (Id. at ¶ 24.) The Notice of Ejection set’ forth the following as a basis for Plaintiffs removal:

On Wednesday, November 16, 2011, you physically assaulted a 22-year-old female Licensee while in the racetrack’s administration building. There is a similar accusation from a female jockey of unlawful sexual harassment. This pattern of conduct is not in the best interest of racing and is undesirable per § 165.933 [sic] of the rules of racing.2

Guerrero v. Dep’t of Agric., Pennsylvania State Horse Racing Comm’n, 1378 C.D. 2012, 2013 WL 6578970, *1 (Pa.Commw.Ct. Dec. 13, 2013). Plaintiff contends that this accusation was merely a pretense that Defendants used to eliminate him as a competitor. (Doc. No. 1 at ¶¶ 21, 30.) Plaintiff challenged his ejection in state court, the details of which are provided below.

According to Plaintiff, the PTHA and Parx had agreed that before Parx ejects a licensee from the racetrack, a three-person panel will hold a conference to hear the surrounding facts and will render an opinion before any action is taken. (Id. at ¶ 27.) Ballezzi or some other PTHA representative would advocate for the licensee, while a member of Parx management would represent the interests of the racetrack. (Id. at ¶ 28.) The panel would also include an independent third-party. (Id.) No pre-ejection conference was held before Plaintiff was ejected from Parx, and rather than advocate for Plaintiff, Ballezzi advocated against him. (Id. at ¶ 29.)

Plaintiff contends that his ejection from' Parx was part of a conspiracy by his competitors to eliminate Plaintiff as a competitor. (Id. at ¶ 30.) He claims that some of his main competitors sit on the board of directors of PTHA and benefit financially from his removal from Parx. (Id.) After his ejection, Plaintiff immediately lost his stall space at Parx. (Id. at ¶ 31.) As a result, the majority of the horse owners he worked with had to find new trainers, and Plaintiff had to look for other places to race. (Id.) Because he was ejected from Parx, many other racetracks would not let Plaintiff compete at their facilities. (Id. at ¶ 32.) In the few jurisdictions in which he was allowed to compete, Plaintiff found his horses to be non-competitive. (Id. at ¶ 33.) Owners abandoned Plaintiff, and in 2012, the horses he trained earned $566,128. (Id. at ¶ 34.) In 2013, the horses only earned $149,924. (Id.) Due to Plaintiffs ejection from Parx, his “business has been virtually destroyed and he has been deprived of millions of dollars that he would have otherwise earned.” (Id. at ¶ 37.)

[580]*580B. The State Court Action

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Bluebook (online)
25 F. Supp. 3d 573, 2014 WL 2547520, 2014 U.S. Dist. LEXIS 76574, Counsel Stack Legal Research, https://law.counselstack.com/opinion/guerrero-v-bensalem-racing-assn-paed-2014.