Luongo v. Pennsylvania State Police

156 F. Supp. 3d 599, 2016 WL 107836, 2016 U.S. Dist. LEXIS 2885
CourtDistrict Court, E.D. Pennsylvania
DecidedJanuary 11, 2016
DocketCIVIL ACTION NO.15-4087
StatusPublished
Cited by3 cases

This text of 156 F. Supp. 3d 599 (Luongo v. Pennsylvania State Police) 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
Luongo v. Pennsylvania State Police, 156 F. Supp. 3d 599, 2016 WL 107836, 2016 U.S. Dist. LEXIS 2885 (E.D. Pa. 2016).

Opinion

MEMORANDUM

BUCKWALTER, District Judge

Currently pending before the Court is the Motion to Dismiss by Defendants Pennsylvania State Police, Tomas Yates, Louis Vitali, James P. Raykovitz, Robert Reilly, Justin Lanza, Derrick Watford, and Eric Turk (collectively, “Defendants”) to Dismiss Plaintiffs’ Complaint pursuant to Federal Rule of Civil Procedure 12(b)(6). For the following reasons, the Motion is granted and Plaintiffs are given leave to amend Count III of their Complaint.

[602]*602I. FACTUAL BACKGROUND

According to the facts set forth in the Complaint, Plaintiffs Steve Luongo’s Towing, Inc. (“Luongo Towing”) and Stephen Luongo (“Luongo”) (collectively, “Plaintiffs”) are in the towing, storage, and salvage business, which includes removal, recovery, and transportation of damaged or disabled vehicles. (Compl. ¶ 14.) Plaintiffs are also in the automobile repair and service business, and Luongo Towing is a Pennsylvania State Inspection authorized station. (Id. ¶ 15.) Plaintiffs operate two “tow yards” located with Delaware County, as well as a fully-licensed automotive repair shop. (Id. ¶ 16.)

As part of the Pennsylvania State Police’s (“PSP”’s) emergency response and law enforcement duties, the PSP retains third-party, private towing companies to provide emergency towing and salvage services. (Id. ¶ 17.) The PSP maintains a list of approved towing and salvage service providers (the “PSP Approved List”) and only providers who are approved by the PSP are eligible to respond to a PSP request. (Id. ¶ 18.) In order to become an approved provider, a towing company must, among other things, submit an application to the PSP that meets certain PSP criteria, and pass an inspection conducted by a PSP representative. (Id. ¶ 19.) Once a towing company’s application is approved, that company must comply with certain regulations on an ongoing basis in order to remain an approved provider. (Id. ¶ 20.) Luongo Towing is on the PSP Approved List, and has provided towing services to the PSP for over thirty years, and salvage services to the PSP for approximately twenty years. (Id. ¶ 21.) A significant portion of Plaintiffs’ business is, has been, and continues to be derived from retention by the PSP to provide towing and salvage services. (Id. ¶ 22.)

From July 26, 2013 to November 19, 2013, however, Plaintiffs were suspended from providing towing and salvage services to the PSP, allegedly in retaliation for Plaintiffs’ submission of a complaint regarding the improper conduct of certain PSP troopers. (Id. ¶ 23.) Specifically, on April 18, 2012, Luongo submitted a detailed complaint to the local PSP office to be submitted to the Pennsylvania State Police Internal Affairs Division (the “IAD Complaint”). (Id. ¶ 24.) The IAD Complaint reported the fact that Trooper Thomas Yates had utilized Plaintiffs’ automotive repair services, but refused to pay for such services and became hostile when pressed for payment. (Id. ¶ 26.) Thereafter, Plaintiffs were advised that, while-Trooper Yates and Trooper Louis Vitali were at a vehicle fraud conference, Trooper Vitali was overheard to say to Trooper Yates, “this is how we can f**k Luongo.” (Id. ¶ 27.) Trooper Yates then appeared at the Aston Township, Delaware County Police Department, apparently posing as Trooper Vitali, and asserted to Aston Police personnel that the PSP was changing certain policies so as to have a negative effect on Plaintiffs’ business and that the Aston Police should do the same. (Id. ¶ 28.) Yates’s conduct allegedly led to the Aston Chief of Police Daniel Ruggieri sending a letter to the Pennsylvania State Police Bureau of Integrity and Professional Standards, Internal Affairs Division, stating, among other things, that “during the past 2 years Mr. Luongo has provided exemplary service to our community [and] I’m outraged that Trooper Yates attempted to circumvent the chain of command by going to Sgt. Osborn in [an] effort to persuade him to change our towing procedure which was put in place by my office.” (Id. ¶ 29.)

In addition to the above, various other instances of harassment by Troopers Yates and Vitali against Plaintiffs were detailed in the IAD Complaint. (Id. ¶ 30.) Nonetheless, on June 11, 2012, Captain Timothy McDonald of the PSP responded to the [603]*603IAD Complaint stating, “I am unable to sustain your allegations [that] Troopers [Yates and Vitali] have conspired to interfere with your business activities” and “while it is clear that Trooper Yates owes you some amount of money.. .this was an informal transaction between you and Thomas Yates and.. .the amount owed is in dispute.” (Id. ¶ 31.) Captain McDonald indicated that no further administrative action would be taken by the PSP in regard to the IAD Complaint. (Id. ¶ 32.)

Around June 2013, Defendants Trooper Justin Lanza and Corporal Derrick Wat-ford of the Philadelphia Fraud Unit of the PSP conducted an investigation of Plaintiffs’ operation at both locations. (Id. ¶ 33.) Plaintiffs allege that the investigation was ordered by Sergeant Robert Reilly. (Id. ¶ 34.) Although Plaintiffs claim to have been in complete compliance with all applicable regulations at the time, the PSP asserted, based on its investigation, that Plaintiffs were not in full compliance. (Id. ¶¶ 35-36.) Via two letters issued on July 26, 2013, the PSP advised Mr. Luongo that he and Luongo Towing were being suspended from the PSP Approved List for 180 days. (Id. ¶ 37.) As to the Parkmount location, the letter indicated that the suspension was based upon an alleged failure to maintain a secure lot and to update fee schedules with the State Police. (Id. ¶. 40.) As to the Brooke Street location, the letter stated that the suspension was based on a failure to have a secure lot and update the fee schedule with the PSP, but also on the fact that Plaintiffs “knowingly failed to keep a currently registered emergency towing vehicle at the location.” (Id. ¶ 39.) Plaintiffs allege, upon information and belief, that Defendant Captain James Rayko-vitz ordered the suspension. (Id. ¶ 38.)

Plaintiffs assert that none of the purported violations were a valid basis for suspension, which was imposed to punish and harass Plaintiffs in retaliation for submission of the IAD Complaint. (Id. ¶ 41.) Plaintiffs contend that the lots, at both the Brooke Street and Parkmount locations were secure and had been regularly inspected by the PSP and approved for many years. (Id. ¶ 42.) Nothing about the security of Plaintiffs’ lots had changed since the time of the submission of the IAD Complaint. (Id. ¶ 43.) In addition, Plaintiffs note that while they maintain a fleet of emergency towing vehicles at the Brooke Street location, they all happened to be actively out on towing calls at the time of the inspection. (Id. ¶ 44.) Finally, there was purportedly no provision of the PSP field regulations or other governing regulations that requires a towing company to update fee schedules with the PSP, and Plaintiffs assert that their fee schedules at both locations were appropriate and in conformity with all industry standards. (Id. ¶ 45.)

As a result of the suspension, Plaintiffs retained an attorney in order to seek reinstatement. (Id. ¶ 47.) Plaintiffs commenced an action seeking injunctive and permanent relief with the Court of Common Pleas of Delaware County, styled Steve Luongo’s Towing Inc. v. Pennsylvania State Police, Troop K, docketed at Civil Action Number 13-7414. (Id.

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156 F. Supp. 3d 599, 2016 WL 107836, 2016 U.S. Dist. LEXIS 2885, Counsel Stack Legal Research, https://law.counselstack.com/opinion/luongo-v-pennsylvania-state-police-paed-2016.