The company backing a proposed 3,300-seat music venue in Portland is suing the city, accusing councilors of illegally blocking the project when they voted to create a buffer between large music venues.

The lawsuit from Portland Music Holdings, LLC, comes as no surprise since the company told the city in May that it planned to sue, less than a month after the council’s vote.

The proposed venue was planned for the corner of Cumberland Avenue and Myrtle Street next to Merrill Auditorium. It faced significant resistance from members of the city’s music scene and residents concerned about increased traffic and pedestrian safety near City Hall.

Portland Music Holdings dismissed those concerns in its lawsuit, alleging that the “actual reason” that the City Council voted on a 180-day moratorium (before it passed the buffer) was that some members had a “personal animosity” toward the company and Live Nation, “and were attempting to shield other venues from potential competition.”

The team behind the Portland Music Hall venue had pitched it as an economic and cultural boon for Portland, and that its partnership with Live Nation would ensure a steady stream of high-profile acts.

The involvement of Live Nation was decried by a groundswell of local musicians and independent venues, especially after a federal lawsuit found the company and its subsidiary Ticketmaster guilty of violating antitrust laws. A group of 30 states is now asking a court to break up the two entities.

A city spokesperson said Tuesday that officials do not comment on pending litigation.

Councilor Wes Pelletier, who sponsored the buffer proposal and voted to approve it, said he’s confident in the city’s legal standing.

“These large corporations are litigious, and you have to go into any sort of dealings where you’re trying to balance the greater good against the power of large corporate interests and be willing to take a stand and have legal standing, and I think we’ve done both,” he said.

Pelletier added that he and the other four councilors who supported the buffer “wouldn’t have voted for a situation that was a clear legal lost cause.”

During the council’s vote in April, Councilor Ben Grant argued that the council had the legal authority to make the retroactive moratorium and zoning changes, and that passing an expanded buffer is in line with the city’s long-term plans. 

The lawsuit from Portland Music Holdings argues that the retroactive zoning changes passed by the city are “fundamentally unfair and an abuse of power,” and points out that prior to the council decision, the Planning Board was unanimously opposed to the buffer.

Live Nation is not involved in the lawsuit. The company said in a statement last month that it no longer had an interest in the venue or with Portland Music Holdings.