educational

August Legal Update: 1

This month's legal update by attorney Lawrence G. Walters, Esq., examines several recent concerns over the legal issues surrounding adult sites. Here's the latest information that you need to know in order to protect yourself and your business...

Extreme Indictment
The adult Internet industry received another jolt this month with the news that a federal indictment had been returned against Extreme Associates, Inc., along with Robert Zicari (a.k.a. Rob Black) and Janet Romano (a.k.a. Lizzy Borden, his wife and alleged business partner).

A search warrant had been executed at Extreme Associates months earlier; however this indictment was the first formal action taken as a result of the raid. The Justice Department followed a similar pattern as that seen in the case pending against the Defendants in the West Virginia obscenity case relating to scatological content, and alleged a conspiracy to distribute obscene content through the United States Mail, and further sought forfeiture of proceeds generated as a result of the conspiracy.

However, this case differs in one important respect: It also alleges that the Defendants violated the federal obscenity laws by offering Internet content for downloading on the Web. Therefore, this is the first known case to involve the application of the United States’ obscenity laws to content available exclusively on the Internet. Previous cases have focused on obscene materials delivered via the United States mail or common carriers. Thus, webmasters can expect to see all of the constitutional arguments play out in this case, which thus far have been merely the subject of academic debate on message boards and resource sites.

The Justice Department promises that this Indictment is merely the first in a “wave of criminal cases” against the adult Internet industry. Reports indicate that the issue of pornography has worked its way to the top of Attorney General John Ashcroft’s agenda, now that the War on Terrorism is supposedly under control. In announcing the Indictment, Ashcroft said: “Today’s Indictment marks an important step in the Department of Justice’s strategy for attacking the proliferation of adult obscenity. . . [We] will continue to focus our efforts on targeted obscenity prosecutions that will deter others from producing and distributing obscene material.”

The prosecution against Extreme Associates will be no cakewalk for the government, however. First Amendment attorney Louis Sirkin of Cincinnati, Ohio has been retained to defend the charges, and other talented lawyers are certain to join in the fray. Because this case raises such groundbreaking issues as which community standard applies to evaluate online communications and what constitutes the ‘whole work’ on a Website for purposes of the obscenity test, the industry will be closely following this case. In the words of Obscenity Czar, Andrew Oosterbaan, “It’s not the first, and it won’t be the last.” This will be an important case for the industry to watch, and will certainly be the subject of future coverage in Update.

Summer Internext Draws to a Close
The adult Internet industry’s largest tradeshow ended with a bang (or several of them) in early August, as Hollywood, Florida picked up the pieces left by adult webmasters visiting from all over the world.

Legal matters were the topic of conversation throughout the tradeshow floor, as webmasters commiserated about issues such as billing woes, Acacia Media’s patent claims, and expected obscenity prosecutions against adult webmasters. This author has never seen the adult Internet industry as fixated on legal issues as it seems to be at present.

Ashcroft’s List
In a move that has shocked many in the legal community, it was recently reported that Attorney General John Ashcroft wants federal prosecutors to create a list of judges who impose more lenient sentences than federal guidelines recommend. Critics say that the creation of such a blacklist could interfere with judicial independence. Ashcroft directed all United States attorneys to promptly report any judge that imposes a “downward departure” from the sentencing guidelines that are not part of a plea agreement or in exchange for cooperation by the defendant.

Those convicted of obscenity offences need not be concerned with such “downward departures” since the recently passed PROTECT Act virtually eliminates the discretion of judges to provide such sentence reductions, in those cases. Ashcroft defended the creation of the list by claiming an interest in making sure that criminal sentences are faithfully, fairly and consistently enforced, which might be read as a complaint about judges who decline to adhere to the Draconian sentencing guidelines, even under very unique circumstances. Interestingly, Ashcroft did not ask for a list of judges who exceed the sentences recommended by the guidelines.

Stay tuned for Part 2!

Lawrence G. Walters, Esquire is a partner with the law firm of Weston, Garrou & DeWitt, with offices in Orlando, Los Angeles and San Diego. Mr. Walters represents clients involved in all aspects of adult media. The firm handles First Amendment cases nationwide, and has been involved in much of the significant Free Speech litigation before the United States Supreme Court over the last 40 years. All statements made in the above article are matters of opinion only, and should not be considered legal advice. Please consult your own attorney on specific legal matters. You can reach Lawrence Walters at Larry@LawrenceWalters.com, www.FirstAmendment.com or AOL Screen Name: “Webattorney.”

Copyright © 2025 Adnet Media. All Rights Reserved. XBIZ is a trademark of Adnet Media.
Reproduction in whole or in part in any form or medium without express written permission is prohibited.

More Articles

opinion

The SCREEN Test: How to Prepare for Federal Age Verification

For those who are counting, there are now 20 enacted state laws in the United States requiring age verification for viewing online adult content, plus numerous proposed laws in the works. This ongoing barrage has been exhausting for many in the adult industry — and it may be about to escalate in the form of a potential new AV law, this time at the federal level.

Corey D. Silverstein ·
opinion

How to Master Team Dynamics for Business Success

Having the right team in place is everything. Whether getting a startup off the ground and thriving, or safeguarding an established company, the right — or wrong — people can mean the difference between a successful venture and a failed dream.

Juicy Jay ·
opinion

Eight Steps to Fast-Track AI Site Approval for Processing

Artificial intelligence is a hot topic these days. AI technology is speeding up the way we do business across all industries and offers numerous benefits, from automating processes to increasing efficiency and scalability.

Cathy Beardsley ·
opinion

How to Secure High-Risk Transactions With Network Tokenization

Ensuring the security of data as it moves through digital channels is the foundation of safe transactions, and crucial for your success. If your business can’t secure transactions, you’re exposed to myriad processing traumas.

Jonathan Corona ·
profile

Lea Lexis On Challenging the Porn Status Quo

Lea Lexis doesn’t just aim to make movies — she wants to craft experiences. Bending the rules of what’s possible in moviemaking with the precision of a true auteur, the performer-turned-Brazzers producer has helped shape some of the industry’s most striking and boundary-pushing productions.

Jackie Backman ·
profile

WIA Profile: Reba Rocket

As chief operating officer and chief marketing officer of Takedown Piracy, long at the forefront of intellectual property protection in adult entertainment, Rocket is dedicated to safeguarding the livelihoods of content creators and producers while fostering a more ethical and sustainable industry.

Women In Adult ·
opinion

Protecting Content Ownership Rights When Using AI

In today’s digital age, content producers have more tools at their disposal than ever before. Among these tools, artificial intelligence (AI) content generation has emerged as a game changer, enabling creators to produce high-quality content quickly and efficiently.

Corey D. Silverstein ·
opinion

How Payment Orchestration Can Help Your Business

An emerging payment solution is making waves in the merchant world: the payment orchestration platform (POP). It’s quickly gaining traction as a powerful tool for managing online payments — but questions abound.

Cathy Beardsley ·
opinion

Fine-Tuning Refund and Cancellation Policies

For adult websites, managing refunds and cancellations isn’t just about customer service. It’s a crucial factor in maintaining compliance with the regulations of payment processors and payment networks such as Visa and Mastercard.

Jonathan Corona ·
profile

WIA Profile: Laurel Bencomo

Born in Cambridge, England but raised in Spain, Laurel Bencomo initially chose to study business at the University of Barcelona simply because it felt familiar — both of her parents are entrepreneurs. She went on to earn a master’s degree in sales and marketing management at the EADA Business School, while working in events for a group of restaurants in Barcelona.

Women In Adult ·
Show More