On March 19, 2019, Baltimore City Mayor Catherine Pugh filed a lawsuit, on behalf of the city, against the owners of Pimlico Race Course and Laurel Park, the Stronach Group, in an effort to prevent them from moving the Preakness Stakes and from using state bonds to improve Laurel Park.[1]The city is also seeking to have ownership of Pimlico Race Course given to them through condemnation.[2]  The city’s concerns stem from the fact that the Stronach Group has not committed to keeping the Preakness Stakes at Pimlico past the year 2020, while continuing to seek funding to improve Laurel Park, allowing Pimlico to fall into disrepair.[3]

Under Maryland law, the Preakness Stakes can only be moved from Pimlico, “as a result of a disaster or emergency,” and the lawsuit alleges that the Stronach Group is attempting to subvert this law by moving the Preakness Stakes to a different racetrack without a disaster or emergency.[4]  The lawsuit also alleges that the Stronach Group is attempting to create their own disaster by underinvesting in Pimlico and continually improving Laurel Park.[5]  The city pointed to the fact that the majority of the state aid that the Stronach Group has received over the last few years has been invested in Laurel Park and not Pimlico.[6]  The city also claims that an undermaintained infrastructure at Pimlico would begin to fail, which would cause the crowds and horse racing to suffer.[7]  Baltimore claims that if the Preakness moves to Laurel Park it will harm the surrounding neighborhoods at Pimlico, which are poorer than the neighborhoods surrounding Laurel Park.[8]  Baltimore City would like to gain control of Pimlico in order to keep the Preakness Stakes there and to preserve the history of having the race there every year.[9]

In response to this lawsuit, the Stronach Group’s lawyers wrote a letter to City Solicitor Andre Davis asking for withdrawal of the lawsuit and stating that it is devoid of legal basis.[10]  They claim that the city does not have the authority to bring this lawsuit and that only the state may do so.[11]  If not withdrawn the Stronach Group will seek to have the lawsuit dismissed.[12]

Over the past few years there has been a growing discussion and push for the Preakness Stakes to be moved from Pimlico to Laurel Park.  Moving this race would have huge economic repercussions for the neighborhoods surrounding Pimlico and Baltimore City as a whole.[13]  If the Preakness Stakes are held in Laurel, there will be no need for the tourists and patrons to enter Baltimore City and a large portion of the revenue that the Preakness Stakes generates for the city will be lost.  Not only would moving the race to Laurel be devastating to the city economically, but it would be devastating historically as well. Pimlico has hosted the Preakness Stakes since its inception in 1873 and is one of Baltimore’s most time-honored traditions.  If Baltimore City is successful with this lawsuit it would not only allow them to keep the Preakness Stakes at Pimlico, but it could potentially lead to a large renovation of Pimlico in an effort to demonstrate that it can still be a viable location for the Preakness Stakes moving forward.  It could also have large repercussions for Laurel Park because the Stronach Group may not wish to continue its investment in the race track without the ability to move the Preakness Stakes there.

Zachary Kluttz recently graduated from the University of Baltimore School of Law.

[1]Pamela Wood, Baltimore Mayor Sues Stronach Group to Sieze Pimlico, Block Move of Preakness to Laurel,The Baltimore Sun (March 19, 2019, 7:20 p.m.), https://www.baltimoresun.com/news/maryland/politics/bs-md-city-pimlico-lawsuit-20190319-story.html.

[2]Id.

[3]Id.

[4]Id.

[5]Id.

[6]Id.

[7]Id.

[8]https://www.baltimoresun.com/news/maryland/politics/bs-md-city-pimlico-lawsuit-20190319-story.html.

[9]Doug Donovan, Stronach Group Calls on City of Baltimore to ‘Immediately’ Withdraw Lawsuit to Seize Pimlico, Preakness Stakes,The Baltimore Sun(March 27, 2019, 4:25 p.m.), https://www.baltimoresun.com/news/maryland/politics/bs-md-stronach-pimlico-lawsuit-20190327-story.html.

[10]Id.

[11]Id.

[12]Id.

[13]DBED Office of Research and Information, The Economic Impact of the 2014 Preakness on the Maryland Economy, Md. Dep’t Com. (May 2015), http://commerce.maryland.gov/Documents/ResearchDocument/EconomicImpactofthe2014Preakness.pdf.