Moderators of the wildly popular VORPG, Polyworld, had no idea that one of their most famous cites Edotown had been stolen and for quite some time. No wonder there were so many complaints and bug reports coming in.
The PCs are stuck in a town with a strict peace policy, the tiniest scuffle can land you years in prison. The town also happens to be a tourist haven, so inn-prices have skyrocketed. The only way the PCs can rest is if they splurge on a room, with their enemy.