IMPERIAL Pacific International has filed another lawsuit against the Commonwealth Casino Commission in federal court to stop the regulatory agency from holding a revocation proceeding against the casino operator.
IPI, through attorneys Stephen Nutting and Michael Chen, sued CCC for unconstitutional impairment of contract and violation of the contracts clause of the U.S. and CNMI constitutions, violation of the due process clauses of the U.S. and CNMI constitutions, violation of Article IV of the CNMI Constitution, and breach of casino license agreement or CLA.
IPI’s new lawsuit also demanded a jury trial.
IPI wants the District Court for the NMI to issue a declaration stating that the current regulatory scheme established by 4 CMC §2314 and NMIAC §175-10.1, where CCC is not and cannot function as an impartial decision maker, is unconstitutional.
IPI also wants the court to issue an injunction against CCC to prevent it from exercising any power for as long as CCC is not and cannot function as an impartial decision maker.
In addition, the lawsuit asks the court “to issue an injunction against CCC preventing the assumption of jurisdiction by CCC to interpret the terms of the CLA and/or to adjudicate claims arising out of the CLA, including but not limited to Complaints 2021-001,002, 003, 004, and 005.”
Moreover, the lawsuit wants the court to declare that “the assumption of jurisdiction by CCC to interpret the terms of CLA and/or to adjudicate claims arising out of the CLA, either standing alone, or in connection with a suspension or revocation proceeding, or other enforcement actions, as applied to IPI, is unconstitutional.”
IPI said the court should “order CCC to vacate, nullify any and all adverse administrative decisions against IPI that were based upon the assumption of jurisdiction by CCC to interpret the terms of CLA and/or to adjudicate claims arising out of the CLA, including but not limited to Commission Order No. 2021-002.”
IPI said the court should likewise “issue an injunction against CCC preventing the enforcement of any CCC Order, including but not limited to Commission Order No. 2021-002, when such orders are the fruits of an unconstitutional regulatory scheme.”
In its other lawsuit, IPI wants the District Court for the NMI to issue a declaration stating that IPI is exempt from or not subject to the terms of the regulatory fee because of the express terms of the CLA entered into by IPI and CNMI prior to the enactment of the annual regulatory fee statute.
IPI also wants the court to issue an injunction against CCC, preventing the enforcement of the regulatory fee statute and collection of the annual regulatory fee against IPI; or mandate that CCC exempt or except IPI from the annual regulatory fee, given the express terms of the CLA entered into by IPI and CNMI prior to the enactment of the annual regulatory fee statute.
In addition, IPI requested the court to issue a declaration stating that the regulatory fee statute, as applied to IPI, is unconstitutional.
IPI likewise wants the court to order CCC to pay restitution for all the regulatory fees paid by IPI in the past.
IPI is also asking the court to order CCC to vacate or nullify any and all adverse administrative decisions against IPI that were based upon the annual regulatory fee statute, including the imposition of fees, interests and penalties for failure to pay the annual regulatory fees, as well as the suspension of its license based upon the annual regulatory fee statute.
CCC has given IPI up to Dec. 30, 2023, to pay the $62 million casino license fees that IPI owes the CNMI government.
