Court: New York City Can Enforce Law Restricting Sex Shops

Court: New York City Can Enforce Law Restricting Sex Shops

NEW YORK — New York's highest court has ruled that New York City may enforce a 2001 law to reduce the number of strip clubs and stores offering sexually explicit content without violating their operators’ First Amendment rights.

Today's unanimous ruling, 6-0, handed a victory to the city in its two decades-long effort to stop the proliferation of "adult" establishments.

Erica Dubno, a lawyer representing various adult business operators in the lawsuit, told XBIZ tonight that the ruling was discouraging.

“We are disappointed with the decision and considering all options,” Dubno said.

Industry attorney Paul Cambria told XBIZ that the decision was “very unfortunate and the product of a very conservative court.”

Cambria was not a party to the lawsuit but, along with Dubno, is a member of the First Amendment Lawyers Association (FALA), which filed an amicus brief in the case.

New York City’s 2001 law sought to plug a loophole after city leaders banned the erotic clubs and stores from residential and most commercial areas, as well as from within 500 feet of similar businesses, schools and places of worship.

That loophole involved the “60/40" test, which deemed businesses "adult" if at least 40 percent of their area or stock included sexually explicit materials or activities.  After the test was put into play, many businesses were found in “sham” compliance.

So, the city decided that businesses offering specific services, such as topless dancing or peep booths, would qualify automatically as "adult.”

A Manhattan judge found the law unconstitutional in August 2012, and was upheld by a divided state appeals court in July 2015.

Today, the New York Court of Appeals decided that previous decision took a "rigidly mechanical" approach that was in error.

In its ruling allowing curbs on sex shops and clubs, the court said, “A store that stocks non-adult magazines in the front of the store but contains and prominently advertises peep booths is no less sexual in its fundamental focus just because the peep booths are in the back and the copies of Time magazine in the front."

“The same is true of the adult eating and drinking establishments. A topless club is no less an adult establishment if it has small signs and the adjoining comedy club, seating area, or bikini bar is easy to access,” the court said in its ruling, which in effect allows New York City to enforce the 2001 law restricting sex shops. 

Rick's Cabaret, Scores and the Hustler Club will remain unaffected by the court ruling because they possess special adult entertainment licenses. But others under the 60/40 rule likely face closures.

View today's ruling

Related:  

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 News

Orion Debuts 'Vibrating Anal Beads' From 'Anos' Line

Orion Wholesale has introduced the Flexible Anal Beads with Jumping Vibrations from its Anos line.

Liberator Names Lindsay Hargis Manager of Affiliate, Influencer and Strategic Partnerships

Liberator has appointed Lindsay Hargis as its new manager of affiliate, influencer and strategic partnerships.

Report: AVS Group Beefs Up AV After $1.3 Million Fine

Adult content provider AVS Group has begun to institute robust age checks on some of its websites after U.K. media regulator Ofcom last week imposed a penalty of approximately $1.3 million for noncompliance with Online Safety Act regulations, the BBC is reporting.

Hankey's Toys Releases 'Roxas Caelum' Dildo

The Roxas Caelum dildo from Mr. Hankey's Toys has been unveiled.

FSC: Federal Report Confirms Unfair Banking Discrimination Against Adult Industry

The Free Speech Coalition (FSC) today announced that a federal report on debanking has concluded that several U.S. banks engaged in discriminatory banking practices against members of the adult industry.

Ghettoff Founder Nefertiti Mitchell Passes Away

Nefertiti "Neff" Mitchell, founder and CEO of adult retail store Ghettof, has passed away.

Nobü Adds to 'Essentials' Collection

Nobü is expanding its Essentials collection with three new pleasure products.

FSC Summit Event Schedule Announced

Free Speech Coalition (FSC) has revealed its slate of networking events and symposiums for its annual summit, set for January 15 during XBIZ 2026.

Orion Debuts 'Skull Masturbator' From Rebel Line

Orion Wholesale has released the Skull Masturbator from its Rebel collection.

Washington AV Bill Jumps on 'Health Warning' Bandwagon

A new age verification bill in the Washington state legislature would require adult sites to post notices warning users of alleged health risks, despite a previous federal court ruling against such requirements.

Show More