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IN THE UNITED STATES DISTRICT COURT FOR THE DISTRICT OF MARYLAND SOUTHERN DIVISION ROBERT R. SUTTON, et al., Plaintiffs, v. Civil Action No. AW-01-2416 HOLLYWOOD ENTERTAINMENT CORPORATION Defendant.

MEMORANDUM OPINION This case arises from claims of malicious prosecution; false imprisonment; negligent hiring, training, and supervision; loss of consortium; and punitive damages related to the arrest and detention of Plaintiff Robert R. Sutton when he visited a video store owned by Defendant Hollywood Entertainment Corporation ("Hollywood Video"). Pending before the Court are several motions. First, Defendant Hollywood Video moves to dismiss, or in the alternative, to stay litigation and compel arbitration [6-1; 6-2; 6-3]. In response, Plaintiffs Robert R. Sutton and Crystal Sutton ("Suttons") have filed a Motion for Leave to File Amended Complaint [10-1] and Motion to Remand [12-1]. Finally, Defendant Hollywood has filed a Motion to Withdraw or Strike Answer and to Strike Appearance [15-1; 15-2], and a Motion to Amend [19-1]. The Court has carefully reviewed the pleadings and the applicable law and has determined that no hearing is necessary. See D. Md. R. 105(6). For the reasons stated below, the Court denies Plaintiffs Motion for Leave to File Amended Complaint and Motion to Remand, and likewise denies Defendant's Motion to Dismiss, or in the

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Alternative, to Stay Litigation and to Compel Arbitration. In addition, the Court grants Defendant's Motion to Amend and grants in part and denies in part Defendant's Motion to Withdraw or Strike Answer and to Strike Appearance. Each motion is handled in turn below.

BACKGROUND Plaintiffs are adult citizens residing in Hyattsville, Maryland. Defendant Hollywood Video is an Oregon corporation licensed to do business in the State of Maryland. At all times relevant to the case, Defendant owned and operated a video rental store at 3601A East West Highway, Hyattsville, Maryland, and employed Mr. Tim Corbin. On or about February 28, 2001, an unknown perpetrator stole merchandise from the Hyattsville Hollywood Video. Hollywood Video's employee, Mr. Corbin, allegedly witnessed the robbery and provided the Hyattsville police with a description of the perpetrator as a black male. The following day, March 1, 2001, Plaintiff Robert Sutton, a black male, entered Hyattsville Hollywood Video. Upon observing Plaintiff Robert Sutton in the video store, Mr. Corbin called the Hyattsville police and reported that the perpetrator of the previous night's crime was once again in the store. As a result, Mr. Sutton alleges he was arrested, handcuffed, and searched in full view of store patrons. In addition, Mr. Sutton alleges he was arrested and detained in the Hyattsville Police station and jail and released only after the police reviewed the surveillance tapes, which showed that Robert Sutton was not the same person as the perpetrator of the February 28, 2001 crime. As a result of his arrest and detention, Plaintiff Robert Sutton brings claims of malicious prosecution; false imprisonment; and negligent hiring, training, and supervision. In addition, Plaintiffs Robert Sutton and Crystal Sutton, his wife, claim loss of consortium. For each of the above claims, Plaintiffs seek 2

$1,000,000, plus interests and costs of this action. In addition, Plaintiffs Suttons claim punitive damages of $5,000,000, plus interest and costs of this action. In July 2001 Plaintiffs brought suit in the Circuit Court for Prince George's County against Defendant Hollywood Video. On August 15, 2001, Defendant filed a Notice of Removal in this Court on diversity grounds pursuant to 28 U.S.C.

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