As license decision looms, liquor store’s lawsuit against Denver again dismissed

Denver lets liquor store stay open

Avondale Liquors at 1365 N. Federal Blvd. is just south of Colfax Avenue and southwest of RTD’s Decatur-Federal station. (BusinessDen file)

A liquor store along Federal Boulevard that’s worried about losing its license — but, critically, hasn’t actually lost it — has come up short in a second legal battle with the city.

Last week, a Denver District judge dismissed a lawsuit that Avondale Liquors had filed against Denver in August.

Avondale, at 1365 Federal Blvd., sits at the heart of a hot spot for crime and police activity. For years, neighbors have argued that the store contributes to the crime, while Avondale has argued it is a victim of it.

That has become a recurring debate at hearings related to the store’s license. Retail liquor licenses had to be renewed every year until a legal change that took effect last August. Retailers must now renew their licenses every two years.

Avondale’s two lawsuits against Denver both revolved around whether the surrounding neighborhood should be considered as part of the renewal process.

The liquor store, owned since 2020 by Zaid Ghebremeskel, first sued in September 2022, shortly after its license was renewed, arguing that the neighborhood’s needs and wants shouldn’t be considered. Judge Bruce Jones quickly threw the case out, finding that because the license had been renewed, the store wasn’t harmed by the city and therefore couldn’t sue.

Then, last year, Avondale filed its second lawsuit — this time with a renewal request pending. The case went before Judge Jill Dorancy.

On Feb. 3, Dorancy again sided with Denver. In dismissing the case, she said the mere possibility of losing a license didn’t amount to being harmed.

“Plaintiff is asking the Court to speculate on what would occur at a future renewal hearing. … It is insufficient to assert injury-in-fact through a remote possibility of a future injury to establish standing,” Dorancy wrote.

But Denver’s decision won’t be a matter of speculation for long. In December, a city hearing officer recommended that Avondale lose its license — and thus be forced to shutter.

The hearing officer’s recommendation is not binding. The final decision is up to Molly Duplechian, the executive director of Denver’s Department of Excise and Licenses. There is no timeline for when she will make her decision.

Attorney Adam Stapen of Dill Dill Carr Stonbraker & Hutchings, who represents Avondale, didn’t respond to a request for comment.

Denver lets liquor store stay open

Avondale Liquors at 1365 N. Federal Blvd. is just south of Colfax Avenue and southwest of RTD’s Decatur-Federal station. (BusinessDen file)

A liquor store along Federal Boulevard that’s worried about losing its license — but, critically, hasn’t actually lost it — has come up short in a second legal battle with the city.

Last week, a Denver District judge dismissed a lawsuit that Avondale Liquors had filed against Denver in August.

Avondale, at 1365 Federal Blvd., sits at the heart of a hot spot for crime and police activity. For years, neighbors have argued that the store contributes to the crime, while Avondale has argued it is a victim of it.

That has become a recurring debate at hearings related to the store’s license. Retail liquor licenses had to be renewed every year until a legal change that took effect last August. Retailers must now renew their licenses every two years.

Avondale’s two lawsuits against Denver both revolved around whether the surrounding neighborhood should be considered as part of the renewal process.

The liquor store, owned since 2020 by Zaid Ghebremeskel, first sued in September 2022, shortly after its license was renewed, arguing that the neighborhood’s needs and wants shouldn’t be considered. Judge Bruce Jones quickly threw the case out, finding that because the license had been renewed, the store wasn’t harmed by the city and therefore couldn’t sue.

Then, last year, Avondale filed its second lawsuit — this time with a renewal request pending. The case went before Judge Jill Dorancy.

On Feb. 3, Dorancy again sided with Denver. In dismissing the case, she said the mere possibility of losing a license didn’t amount to being harmed.

“Plaintiff is asking the Court to speculate on what would occur at a future renewal hearing. … It is insufficient to assert injury-in-fact through a remote possibility of a future injury to establish standing,” Dorancy wrote.

But Denver’s decision won’t be a matter of speculation for long. In December, a city hearing officer recommended that Avondale lose its license — and thus be forced to shutter.

The hearing officer’s recommendation is not binding. The final decision is up to Molly Duplechian, the executive director of Denver’s Department of Excise and Licenses. There is no timeline for when she will make her decision.

Attorney Adam Stapen of Dill Dill Carr Stonbraker & Hutchings, who represents Avondale, didn’t respond to a request for comment.

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