A Pennsylvania appeals court has revived efforts of the partners in the doomed Foxwoods Philadelphia to recover a $50 million license fee paid to the state in 2007. The license ultimately was revoked, but the state kept the $50 million fee.
The 3rd Circuit Court of Appeals has reversed a lower court’s ruling that upheld a U.S. Bankruptcy Court ruling denying a claim for a refund of the fee by Philadelphia Entertainment & Development Partners, which included the Mashantucket Pequot Tribe.
The partnership was awarded one of the two casino licenses for Philadelphia, and the tribe was going to operate Foxwoods Casino Philadelphia on the Delaware River in South Philadelphia. The project ran into trouble early, with neighborhood opposition both in its original location and in the hastily re-chosen Gallery at Market East shopping center area ultimately leading the Gaming Control Board to revoke the license.
After the project was taken over and dropped by Harrah’s Entertainment and Steve Wynn, the Stadium Casino partnership of Cordish Companies and Greenwood Gaming eventually got the license for Philadelphia’s second casino.
The Foxwoods Philadelphia case now goes back to U.S. District Court, but could eventually end up back in U.S. Bankruptcy Court.
