However, Hitler and his allies instead quickly marginalized Papen and the rest of the cabinet. For example, as part of the deal between Hitler and Papen, Göring had been appointed interior minister of Prussia, thus putting the largest police force in Germany under Nazi control. He frequently acted without consulting his nominal superior, Papen. Neither Papen nor his conservative allies waged a fight against the Reichstag Fire Decree in late February or the Enabling Act in March. Even the German Federal Constitutional Court, which had the authority to challenge the move, “accepted the validity of the Enabling Act”.[16]https://en.wikipedia.org/wiki/Franz_von_Papen
Yes, Papen was shoved to the side and he was lucky at that. Most of Hitlers other rivals ended up dead. The intent of The Night of the Long Knives was to show to what lengths the regime would go to eliminate any opposition. Hitler also made sure his inner circle got their hands bloody too. A good way to show their loyalty.