The owners of the now-closed Campusdrank.com filed a notice of a claim, which could be a precursor to a lawsuit, against the city Wednesday.
Campus Drank was a business that allowed students to order liquor and beer for delivery, and was shut down by Madison officials in April.
Danny Haber, a UW-Madison student and co-owner of Campusdrank.com, said the city of Madison should return any forfeitures he would have to pay as a result of alleged city ordinance violations.
The claim filed by Haber seeks $428,522 from the city, which is the maximum amount that Haber faces in forfeitures for allegedly selling liquor without a license.
Haber said he relied on advice given to him by Ald. Mike Verveer, District 4, who is a member of the Alcohol License Review Committee, when he opened Campus Drank.
According to Lester Pines, Haber's attorney, Verveer's advice proved to be incorrect. A 575-count complaint with selling alcohol without a license and selling to underage customers was charged against Haber and his business partner, Matthew Siegel, according to the Wisconsin State Journal.