We lose another one!

avatar for shadowcat
shadowcat
Atlanta suburb
The U.S. Supreme Court will not take up the adult entertainment industry's lawsuit against the state's $5-per-patron strip club tax, justices decided Monday.

That means the Texas Supreme Court's ruling — that the fee does not violate the First Amendment — stands. But it doesn't mean that the industry, years into its legal battle, can't file yet another suit against other elements of the tax.

After lawmakers passed the Sexually Oriented Business Fee Act — or "pole tax" — during the 2007 legislative session, strip club owners immediately challenged the fee in court. They argued it violated their freedom of expression under the First Amendment.

The suit wound its way to the Texas Supreme Court, where justices in August 2011 ruled that the fee was directed not at the expression of nude dancing, but at the "secondary effects of nude dancing when alcohol is being consumed." Adult entertainment businesses can "avoid the fee altogether simply by not allowing alcohol to be consumed," Justice Nathan Hecht wrote in the court's ruling.

The adult entertainment industry appealed to the U.S. Supreme Court, which on Monday declined to hear the case.

Proceeds from the tax go to support low-income health insurance and programs combating sexual assault. But as of August, only about $14.5 million had been collected, a fraction of the $40 million that lawmakers expected the fee to generate in its first year. And most of it was sitting in the bank awaiting a final legal ruling.

7 comments

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avatar for SuperDude
SuperDude
13 years ago
The whole "secondary effect" standard is nonsense. It's based on suppositions, not facts. Judges have bought it because it makes it easier to rule against SCs and avoid First Amendment issues.
avatar for bang69
bang69
13 years ago
what a scam
avatar for Ermita_Nights
Ermita_Nights
13 years ago
I'm surprised this would fly in Texas, which is normally a pretty "mind your own business" kind of place.
avatar for gatorfan
gatorfan
13 years ago
I cant imagine why
avatar for deogol
deogol
13 years ago
I'll tell ya secondary effects - look at the shit that goes down at all night convenience stores! Talk about a magnet for unsavory characters - from gun wielding jackasses to loud mouth drunks to whores on the stroll buying a microwave goodie. Yet, we never hear about secondary effects there!

I am getting a little concerned with the idea espoused by our government lately that freedom is available to those who can afford it.
avatar for sandman74
sandman74
13 years ago
Actually, let them collect that "Tax" its really like a mob shake down. That "Tax" makes the government dependent upon the Strip Club industry for money. They will count on that money to fill their budgets and pay for their BS projects, therefore making the SC industry more legitimate. Its better to have the $5 per tax than to kill the entire industry like they did in Missouri
avatar for ForceMajeure
ForceMajeure
13 years ago
Wow, Sandman, that hadn't occurred to me, but you are exactly right.
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