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Metro Weekly publisher settles $1 million lawsuit

Agreement reached over debt, fraud allegation; IRS tax liens remain

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Metro Weekly — a local gay magazine published by Jansi LLC, which is owned by Randy Shulman — and Post-Newsweek Media, Inc., the company that owns the Washington Post, reached a settlement agreement on April 28 over a lawsuit in which Post-Newsweek alleged that Jansi and Shulman engaged in fraud to avoid paying a Post-Newsweek-owned printing company $85,000 for printing services.

The settlement came six days after a D.C. Superior Court judge presiding over the lawsuit denied a motion for summary judgment by Jansi and Shulman that called for dismissing the fraud charge on grounds that insufficient evidence existed to move forward with the charge.

The settlement agreement also came just over seven months after Judge Ramsey Johnson denied a separate motion by Jansi and Shulman seeking dismissal of the lawsuit.

The terms of the settlement between the two parties could not be found in the court records, indicating the parties chose to keep the terms confidential as is the case with many lawsuits.

Paul S. Thaler, the attorney representing Post-Newsweek, and John W. Karr and William G. McLain, the attorneys representing Jansi and Shulman, did not respond to the Blade’s request for comment on the case and the settlement.

McLain faxed a message to the Blade on May 27 saying Jansi and Shulman would consider responding to a Blade inquiry in writing if such a response was “deemed appropriate” by him but the magazine has a policy of not providing interviews to Blade reporters.

Jansi and Shulman’s attorneys have argued that the lawsuit was without merit, saying the printing debt was incurred by Isosceles Publishing, Inc., the corporation that owned and operated Metro Weekly up until November 2007.

The magazine’s attorneys have argued that a new corporation called Jansi LLC entered into a licensing agreement with Isosceles to publish and operate Metro Weekly beginning in November 2007. They maintain that Jansi, as a separate corporate entity, was not responsible for the debts and liabilities incurred when Metro Weekly was published and operated by Isosceles.

A past due bill of $85,000 from Comprint, a Gaithersburg, Md., company owned by Post-Newsweek, was for printing services incurred by Metro Weekly during the time Isosceles published the magazine, the lawyers have argued.

In its lawsuit filed in July 2010, Post-Newsweek charged Jansi LLC and Shulman, one of Jansi’s two shareholders, with breach of contract, saying they were responsible for the printing debt with Comprint.

The lawsuit also charged Jansi and Shulman with fraud for allegedly entering into the licensing agreement with Isosceles for the alleged purpose of evading debts and liabilities.

“Upon information and belief, Mr. Shulman, Jansi, and Isosceles entered into the 2007 License Agreement with the specific intention to evade Isosceles’ creditors while continuing to publish, and reap revenue from, Metro Weekly,” the lawsuit said. “As a direct result of the defendant’s fraud, plaintiff suffered damages in a sum to be proved at trial but expected to exceed $1,000,000,” the lawsuit said in its request for punitive damages.

‘Nearly $656,000’ in tax liens

In its court brief opposing Jansi and Shulman’s motion to dismiss the fraud charge, Post-Newsweek attorney Thaler cited Shulman’s testimony in a deposition in February in which Shulman acknowledged that he and Isosceles had yet to resolve an outstanding tax obligation with the IRS.

News of Isoceles’ tax liabilities surfaced last year when the Washington Business Journal reported that, “nearly $656,000 in federal and state tax liens have been filed against Isosceles.” Records from the D.C. Recorder of Deeds, which keeps track of tax liens, show that 21 federal, D.C., or unemployment tax liens had been filed against Isosceles Publishing between 1996 and 2010.

Thaler stated in his brief opposing Jansi and Shulman’s motion to dismiss the fraud charge that the tax liens were an indication that the licensing agreement between Isosceles and Jansi was conceived to enable Metro Weekly to evade its debts, a development, he said, that supports Post-Newsweek’s fraud claim.

In Jansi and Shulman’s August 2010 motion for summary judgment seeking to dismiss the lawsuit, Karr argued that Post-Newsweek’s breach of contract charge concerning the printing debt was invalid because, among other things, Post-Newsweek had brought the same charge in a separate lawsuit in 2009.

A judge ruled in Post-Newsweek’s favor in the earlier lawsuit and ordered Isosceles to pay the printing debt. Isosceles started making payments for the initial printing debt, which exceeded $100,000, for a while before stopping all payments. That prompted Post-Newsweek to file the second lawsuit last July, Thaler said in court papers.

Karr argued in his dismissal motion that the legal concept of “claim preclusion” or “issue preclusion” prohibits “relitigation in a subsequent proceeding of the same claim between the same parties or their privies.”

He also argued that Post-Newsweek failed to provide in its lawsuit the required “elements” indicating that fraud might have taken place to a sufficient degree that a fraud claim could move forward to trial.

D.C. Superior Court Judge Ramsey Johnson rejected those assertions, stating in a Sept. 13, 2010 ruling denying the motion for dismissal of the lawsuit that he was “satisfied that the Plaintiff’s complaint for fraud has been sufficiently pled.”

In its separate motion filed Feb. 23, 2011 seeking dismissal of the fraud charge, Karr reiterated his claim that Post-Newsweek failed to provide sufficient grounds for proving fraud. Karr cited the testimony of Post-Newsweek official Garland Christmas in a deposition in which Christmas stated he was not familiar with the specific details of the lawsuit’s allegation that Metro Weekly and Shulman engaged in fraud through the licensing agreement between Isosceles and Jansi.

Karr argued in his brief that Christmas, the Post-Newsweek official in charge of debt collection for the company, also could not provide information to support Post-Newsweek’s claim that it suffered damages exceeding $1 million due to the non-payment of the printing debt or the licensing deal between Isosceles and Jansi.

In his opposition motion for Post-Newsweek, Thaler said the latest lawsuit was aimed at “asking the court to pierce the corporate veil and find that defendants Randy Shulman and Jansi LLC are the functional ‘alter egos’ of Isosceles and should therefore be held liable for the debt owed to Plaintiff.”

Business funds for personal use

In his opposition motion, Thaler added, “Mr. Shulman further indicated [in a deposition] that the licensing arrangement was the ‘only way’ Metro Weekly could continue to be published in light of the tax lien against Isosceles…Shulman and his business partners frequently commingled funds between Jansi and Isosceles. Shulman has also withdrawn funds from Isosceles and Jansi for personal use.”

Shulman was asked during depositions about various charges made to a company ATM card. “If you go down the purchases apparently using the ATM card you’ll see not just the Pet Smart and Martin’s Wine but a series of purchases at Safeway, RiteAid, Target and Subway as well as something called 14k Restaurant, Starbucks. Is it your testimony that all of these were for Jansi or mistakes by you as you’ve indicated you sometimes do,” a Post-Newsweek lawyer asked.

“Some could be mistakes I would think that – I know for a fact the 14K would be a business – that would be a business – that was probably for coffee for a business meeting,” Shulman replied.

In response to questions about purchases with the Jansi card made at other places, such as the Virginia Market convenience store near his home, Shulman said:

“ … I’m looking this over and I’m looking at the cluster of time and it’s very likely at this time that, aside from the thing that I was – quite honestly, I probably had absolutely no money in my own personal account. I was actually utilizing Jansi funds that were there at the time to help support me.”

“So you used the ATM for Jansi,” the lawyer replied.

“I did use the ATM for Jansi to make my purchases during that period.”

In his April 22 ruling denying Jansi and Shulman’s summary judgment motion to dismiss the fraud charge, Judge Johnson stated, “The court has already concluded that Plaintiff’s fraud claim was sufficiently pled when it denied Defendants’ Motion for Failure to State a Claim on Sept. 13, 2010.  With regard to the instant motion, the Court does not find that the issue of fraud, at least in this case, lends itself to summary judgment.”

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Most D.C.-area cities receive highest score in HRC Equality Index

‘Record breaking’ 132 jurisdictions nationwide receive top ranking

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Rehoboth Beach, Del., received a perfect 100 score on HRC’s annual Equality Index. (Washington Blade file photo by Daniel Truitt)

The Human Rights Campaign Foundation on Nov. 18 released its 14th annual Municipal Equality Index report showing that a record number of 132 cities across the country, including nine in Virginia and seven in Maryland, received the highest score of 100 for their level of support for LGBTQ equality through laws, policies, and services.

Among the D.C.-area cities and municipalities receiving a perfect score of 100 were Alexandria, Arlington County, Fairfax County in Virginia and College Park, Bowie, Gaithersburg and Rockville in Maryland.

The city of Rehoboth Beach is listed as the only city or municipality in Delaware to receive a score of 100. Rehoboth city officials released a statement hailing the high score as a major achievement over the previous year’s score of 61, saying the improvement came through a partnership with the local LGBTQ advocacy and services group CAMP Rehoboth.

The  HRC Foundation, which serves as the educational arm of the Human Rights Campaign, the nation’s largest LGBTQ advocacy organization, includes the District of Columbia in a separate State Equality Index rating system under the premise that D.C. should be treated as a state and receive full statehood status.

In its 2024 State Equality Index report, D.C. and 21 states, including Maryland, Virginia, and Delaware, were placed in the “highest rated category” called Working Toward Innovative Equality, which does not use a numerical score.

 “The 2025 MEI shows a record breaking 132 cities scoring the highest possible marks on the index, representing a combined population of approximately 49 million people,” the HRC Foundation said in a statement announcing the 2025 report.

“This high-water mark is critical as pressure continues from states that pass laws and policies that seek to shut transgender people – particularly trans youth – out of public life,” the statement continues. It adds that many cities that have put in place trans supportive laws and policies, including health insurance benefits, “are in many cases no longer able to provide that coverage in a meaningful way as a result of discriminatory decisions made by state legislatures.”

The statement goes on to say, “However, more cities than ever are doing what the MEI characterizes as ‘testing the limits of restrictive state laws’ – pushing back against various checks on municipal power or discriminatory state  laws – with nearly 70 cities doing so.” 

The HRC statement notes that this year’s Municipal Equality Index rated a total of 506 cities. It says that number includes the 50 state capitals, the 200 largest cities in the U.S., the five largest cities or municipalities in each state, the cities that are home to the state’s two largest universities, and the 75 cities or municipalities that have high proportions of same-sex couples.

The report shows this year’s index rated 11 cities or municipalities in Virginia with the following rating scores: Alexandria, 100; Arlington County,100; Fairfax County, 100, Richmond, 100; Charlottesville, 100; Chesapeake, 80; Hampton, 100; Newport News, 100; Norfolk, 91, Roanoke, 100, and Virginia Beach, 100.

In Maryland a total of 10 cities were rated: Annapolis, 100; Baltimore, 100; Bowie, 68; College Park, 100; Columbia, 100; Frederick, 100; Gaithersburg, 100; Hagerstown, 75; Rockville, 100 and Towson in Baltimore County, 85.

A total of eight cities were rated in Delaware: Rehoboth Beach, 100; Bethany Beach, 51; Milford, 83; Dover, 69; Wilmington, 76; Newark, 72; Smyrna, 59; and Middletown, 64.

The full 2025 HRC Foundation Equality Index Report can be accessed at hrc.org.

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Virginia

Repealing marriage amendment among Va. House Democrats’ 2026 legislative priorities

Voters approved Marshall-Newman Amendment in 2006

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(Bigstock photo)

Democrats in the Virginia House of Delegates on Monday announced passage of a resolution that seeks to repeal a state constitutional amendment that defines marriage as between a man and a woman is among their 2026 legislative priorities.

State Del. Mark Sickles (D-Fairfax County) has introduced the resolution in the chamber. State Sen. Adam Ebbin (D-Alexandria) is the sponsor of an identical proposal in the state Senate.

Both men are gay.

Voters approved the Marshall-Newman Amendment in 2006.

Same-sex couples have been able to legally marry in Virginia since 2014. Republican Gov. Glenn Youngkin last year signed a bill that codified marriage equality in state law.

A resolution that seeks to repeal the Marshall-Newman Amendment passed in the General Assembly in 2021. The resolution passed again this year.

Two successive legislatures must approve the resolution before it can go to the ballot.

Democrats on Election Day increased their majority in the House of Delegates. Their three statewide candidates — Gov.-elect Abigail Spanberger, Lt. Gov.-elect Ghazala Hashmi, and Attorney General-elect Jay Jones — will take office in January.

“Virginians elected the largest House Democratic Majority in nearly four decades because they trust us to fight for them and deliver real results,” said House Speaker Don Scott (D-Portsmouth) on Monday in a press release that announced his party’s legislative priorities. “These first bills honor that trust. Our agenda is focused on lowering costs, lifting wages, expanding opportunity, protecting Virginians rights, and ensuring fair representation as Donald Trump pushes Republican legislatures across the country to manipulate congressional maps for partisan gain. House Democrats are ready to meet this moment and deliver the progress Virginians expect.”

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District of Columbia

D.C. LGBTQ bars ‘hanging in there’ amid tough economy

Shakers to close; others struggling in wake of gov’t shutdown, rising prices

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Shakers this week announced it will close for good later this month. (Washington Blade file photo by Michael Key)

The owners of several of D.C.’s at least 24 LGBTQ bars, some of which also operate as restaurants or cafes, say they are being negatively impacted by the same forces impacting most other D.C. bars and restaurants at this time.

Among the lead issues impacting them have been the deployment by President Donald Trump of National Guard troops on city streets, the nearly two-month long federal government shutdown that just ended, and skyrocketing prices for food and other supplies brought about by the Trump administration’s controversial tariff program.

The Trump administration’s decision to lay off thousands of federal workers shortly after Trump took office in January also appears to have resulted in a decline in the number of people going out to restaurants and bars, including  LGBTQ restaurants and bars, according to some of the owners who spoke to the Washington Blade.

Observers of LGBTQ nightlife businesses have pointed out that although nationwide the number of LGBTQ or “gay bars” has declined significantly since 1980,  the number of LGBTQ bars in D.C. has increased from just six in 1980 to at least 24 so far in 2025.

If the popular Annie’s Paramount Steak House near Dupont Circle, Mr. Henry’s restaurant, bar and Jazz music performance site on Capitol Hill, and the Red Bear Brewing Company bar, restaurant and music performance site in Northeast near Capitol Hill – each of which have a mixed but large LGBTQ clientele  — are included in the D.C. gay bar list, the total number climbs to 27. 

As if that were not enough, yet another D.C. gay bar, Rush, was scheduled to open on Nov. 21 at 2001 14th Street, N.W. at the intersection of 14th and U streets, near the location of 10 other LGBTQ bars in the U Street nightlife corridor. That will bring the number of LGBTQ-identified bars to 28.

Among the first of the LGBTQ bar owners to publicly disclose the economic hardships impacting their establishment was David Perruzza, who owns the gay bar and café Pitchers and its adjoining lesbian bar A League of Her Own in the city’s Adams Morgan neighborhood.

In an Oct. 10 Facebook post, Perruzza said he was facing “probably the worst economy I have seen in a while and everyone in D.C. is dealing with the Trump drama.”

He added, “I have 47 people I am responsible for, and I don’t know how to survive in this climate. If I have ever sponsored you or your organization, now is the time to show the love. Not only for me but other bars. I went out tonight and it was depressing. If you want queer bars, we all need your help.”

Asked on Nov. 10 how things were going one month after he posted his Facebook message, Perruzza told the Blade business was still bad. 

“I’m not going to sugarcoat it,” he said. “Again, we’re busy. The bar’s busy, but people aren’t buying drinks.” He added, “No, they’re coming in and drinking water and dancing. They’re not buying drinks.” 

Like most of the city’s bars, including LGBTQ bars, Perruzza said he provides water jugs and plastic cups for patrons to access drinking water by themselves as needed or desired.

Jo McDaniel, co-owner of As You Are, an LGBTQ bar and café in the Barracks Row section of Capitol Hill at 500 8th Street, S.E., which has a large lesbian clientele, said she, too, was hit hard by the National Guard deployment. She said National Guard troops carrying guns began walking up and down 8th Street in front of As You Are around the last week in August and have continued to do so.

“And then from the 7th [of September] they went from pistols to rifles,” McDaniel said. “Nothing has happened. They’ve just been walking back and forth. But now they have big guns. It’s pretty terrifying.”

She noted that the National Guard presence and the other issues, including the federal shutdown, caused a sharp drop in business that prompted her and her partner to launch a GoFundMe appeal in August, a link to which was still on the As You Are website as of Nov. 16.

“We’re reaching out to you, our community, our allies, and those who believe in safe spaces for marginalized folks to help us get past this challenge so we can all ensure AYA’s survival and continued impact in D.C. and the community at large,” a message on the GoFundMe site says.

Freddie Lutz, owner of Freddie’s Beach Bar, the LGBTQ bar and restaurant in the Crystal City section of Arlington, Va., just outside D.C., said the federal shutdown, rising costs, and even the deployment of National Guard troops in D.C. appears to have had a negative impact on businesses across the river from D.C., including Freddie’s.

“Freddie’s is doing OK but not as good,” he said. “We’re down a little bit. Let’s  put it that way,” he added. “I just feel like with all the chaos going in this administration and everything that’s happening it’s like we just have to hang in there and everything will be alright eventually,” he told the Blade. 

“But business is down a little bit, and we can use the support of the community just like David Perruzza has been saying,” Lutz said. He said the drop in businesses for at least some of the LGBTQ bars may also be caused by the large and growing number of LGBTQ bars in D.C.

“There are a lot of new gay bars, which are also impacting the rest of us,” he said. “I’m all for it. I want to support them. But it is taking away from some of us, I think.”

Mickey Neighbors is the owner of Sinners and Saints, an LGBTQ bar at 2309 18th Street, N.W. in Adams Morgan located a few doors away from Pitchers and A League of Her Own. He said his business has mostly rebounded from a slowdown caused by the National Guard deployment. 

“At first, everyone was kind of scared,” he said. “But then it kind of blew over and there really aren’t that many other bars where the demographic people that come to mine really go to.” He described Sinners and Saints as catering to a younger “BIPOC” crowd, a term that refers to Black, Indigenous, and People of Color. 

“We had a downturn of business for a few weeks, but everything is back to normal,” he said. 

Stephen Rutgers, co-owner of the LGBTQ bar Crush located at 2007 14th Street, N.W., a few doors down from where the new bar Rush is about to open, said Crush like most other bars was impacted by the National Guard deployment. 

“Some bars are going to be fine,” he said. “We are trying to do some creative things to keep people coming in. But overall, everyone is seeing cutbacks, and I don’t think anyone is not seeing that,” he said. 

Rutgers said Crush, which in recent weeks has had large crowds on weekends, said he was hopeful that his and other LGBTQ bars would fully rebound when the federal shutdown ends, which occurred the second week in November.

Among other things, Rutgers said a decline in the number of tourists coming to D.C. in  response to the Trump administration’s policies has impacted all bars and restaurants, including LGBTQ bars. He said this, combined with the record number of LGBTQ bars now operating in D.C., is likely to result in fewer patrons going to at least some of them.

One of the D.C. LGBTQ bars that put in place a significant change in the way it operates in response to the developments impacting all bars is Spark Social House, a bar and café  located on 14th Street, N.W. next door to Crush. In the past week, Spark Social House announced it was ending its status as the city’s only LGBTQ bar that did not serve alcoholic beverages and instead sold a wide range of alcohol-free cocktails.

Owner Nick Tsusaju told the Blade he and his associates made the difficult assessment that under the current economic environment in D.C., which is impacting all bars and restaurants, Spark Social would need to offer both alcohol and non-alcoholic beverages

“You can imagine that if the bars that are selling alcohol are struggling, we are struggling just like other small businesses with the same issues,” he said. “And I think that introducing alcohol is not really an abdication of our values.”

He noted that beginning in December, after Spark Social obtains its liquor license, “we’re introducing a one for one menu where every cocktail comes in two options, booze and boozeless.”   

Ed Bailey, co-owner of the D.C. gay bars Trade and Number Nine located near the intersection of 14th and P Streets, N.W., told the Blade in September his two establishments were “ramping up for a busy fall after an unusual summer” impacted by the National Guard deployment.

 His predictions of a busy fall appear to have come about at least on weekend nights, including Halloween night, where there were long lines of Trade’s mostly gay male clientele waiting to get into the bar.

Stephen Thompson, a bartender at the Fireplace, a longtime gay bar located at 2161 P Street, N.W., near Dupont Circle, said the National Guard presence and other issues impacting other bars have not negatively impacted the Fireplace. 

“We are doing fine,” he said. “The National Guard has not hurt our business. The soldiers do walk by a few times a week, but we’ve been looking pretty good the last couple of months.”

One of the at least 10 LGBTQ bars in the U Street, N.W., entertainment corridor, Shakers, at 2014 9th Street, N.W., announced in a statement this week that it will close its doors on Nov. 23. 

“After many, many difficult discussions, we ultimately decided it is time for Shakers to close its doors,” says the statement posted by Shakers owners Justin Parker and Daniel Honeycutt. “While we are in so many ways saddened, we are also looking forward to spending a bit more time with our three-year old son,” the statement says.

It also announces that the nearby gay bar Kiki, located around the corner on U Street, will acquire use of the Shakers building and “keep the space dedicated to our LGBTQ+ community.”

In his own statement on social media, Kiki owner Keaton Fedak said, “To now have two LGBTQ+ bars at 9th & U under the Kiki umbrella is a true full-circle moment – rooted in friendship, history, and the community that continues to grow here.”

The owners of several other D.C. LGBTQ bars couldn’t immediately be reached for comment or declined to comment for this story.

Edward Grandis, a D.C. attorney who has worked with some of the D.C. LGBTQ bars, said the COVID pandemic, which led to the temporary shutdown of all bars and restaurants, appears to have had a lasting impact on LGBTQ bars long after the pandemic subsided.

Among other things, Grandis said he has observed that happy hour sessions at most bars, including LGBTQ bars, have not returned to the level of patronage seen prior to the COVID pandemic. He notes that happy hour times, usually in late afternoon or early evening during weekdays, where bars offer reduced price drinks and some offer free drinks to attract large numbers of patrons, have not been drawing the crowds they did in past years.  

“The COVID shutdown assisted the online social meeting sites,” Grandis said. “Bars were closed so guys turned to the internet for setting up parties and this has continued even though there are more bars,” he said in referring to the D.C. gay bars. According to Grandis, the gay men in the age range of their 20s and 30s appear to be the largest group that is no longer going to gay bars in large numbers compared to older generations. 

“So, I think the trend started before what the feds are doing,” he said in referring to the National Guard presence and the federal shutdown. “And I think what we are witnessing right now is just sort of like another obstacle that people in the gay and entertainment community need to figure out how to attract the 20-year-olds and young 30s back to the bars.” 

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