Scales of Justice

LOUISVILLE, Ky. (WDRB) -- A company with plans to build a $2 million center with several stores in Louisville's Russell neighborhood has filed a lawsuit against the city after a liquor license was denied, effectively killing the project.

The suit, filed on behalf of Liquor Market Inc. in Jefferson Circuit Court on Friday, names the Alcohol Beverage Control Board, the Department of Alcohol Beverage Control and Robert Kirchdorfer, the administrator of Alcohol Beverage Control, as defendants.

According to court documents, the company's owner, Meena Sethi, purchased an empty lot at 2124 West Market St. with plans to turn it into a $2 million center with four to five stores, including a liquor store. The company then applied for a liquor license to operate with extended hours until 2 a.m.

But in November, the lawsuit claims Metro Alcohol Beverage Control denied the store's liquor license, citing -- among other things -- public opinion, the store's proximity to public housing, its location in a high-poverty area and the fact that other liquor stores were already nearby.

The agency, according to court documents, received "hundreds of letters, emails, phone calls and petitions opposing issuance of the licenses. The letters expressed the citizens concern that the Russell neighborhood is already inundated with alcoholic beverage establishments, and they were concerned that another liquor store was not a positive addition that would benefit the neighborhood."

The company appealed the ruling and a hearing was held on March 1.

Liquor Market argues that the ruling was "arbitrary, capricious and an abuse of discretion" -- and repeatedly points out that liquor stores have already been approved in the area, despite public backlash. 

"Metro ABC has approved alcohol sales all over the area, including bourbon bars and restaurants," the suit says. "The city has interest in advocating the bourbon business and Louisville as bourbon capital of the world, but denies this application due to detrimental health impact."

The lawsuit goes on to call the ruling "an arbitrary whim" by Kirchdorfer, and states that, "Metro Louisville and the Board have approved licenses all over the city, and yes, even in high crime areas."

According to court documents, Sethi claims she will not be able to compete with other businesses in the area without the liquor licenses, and if it isn't granted, "she will take her dream somewhere else."

The lawsuit demands that the agency's final decision be overturned and the store's liquor license granted.

The Metro Alcoholic Beverage Control didn't respond to a request for comment.

Copyright 2019 by WDRB Media. All rights reserved.