Penthouse Club Sues Detroit for Adult Entertainment Permit

DETROIT — Attorneys representing the Penthouse Club in Detroit have sued the city for refusing to issue an adult entertainment permit.

According to the suit, the club is accusing the city of refusing to take action on a request for permission to offer adult entertainment. The Detroit City Code defines and regulates adult entertainment, requiring licenses and imposing regulations for conduct by entertainers and other venue employees.

"We're attacking the city of Detroit's ordinances," attorney Michael Donaldson, who represents the club's owners, told XBIZ. "We're arguing that this is prior restraint."

The owners of the club, ABCDE Operating LLC, is using the Penthouse Club name under license.

The problem dates back to 2007, when the Penthouse Club wanted the venue's Class C License — with Sunday Sales, Entertainment and Topless Activity — transferred. Penthouse was required to schedule and pay for inspections by various city departments, which had not issued inspection reports when Penthouse Club applied for a Class D license in January 2008.

The city responded with a temporary moratorium on considering activity permits, which has been renewed regularly through the suit's filing on Nov. 24, most recently on Dec. 1. Although the club has been operating as a topless bar under a Temporary Occupancy Permit since Feb. 6, the suit says that the city is using a portion of the zoning code that the city knows is unconstitutional "to justify its inaction."

The suit asks for the federal court to declare the ordinances unconstitutional and enjoin the city and its representatives from using them in the future. The suit also asks for costs and attorneys fees.

Related:  

Copyright © 2026 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

Nexus Expands 'Bendz' Collection

Nexus has introduced a collection of anal plugs from its Bendz line.

Senator Urges DOJ to Crack Down on 'Obscenity,' Attacks OnlyFans

U.S. Senator Jim Banks of Indiana this week urged Acting Attorney General Todd Blanche to reestablish the Department of Justice’s defunct Obscenity Prosecution Task Force in a letter that targets OnlyFans while repeatedly conflating “obscenity” with legal adult content.

UN Experts Urge US, Canada to Prosecute Aylo, Others for 'Exploitation'

GENEVA – The United Nations Office of the High Commissioner for Human Rights (OHCHR) has issued a press release in which two U.N. special rapporteurs, cited as experts, accuse Aylo and other companies of complicity in sexual exploitation.

Orion Debuts 2 New Styles From Cottelli Lingerie

Orion Wholesale has introduced two new styles from its Cottelli Lingerie line.

Tennessee Governor Signs Bill Requiring Warnings on Adult Stores

Governor Bill Lee on Tuesday signed into law a bill requiring adult stores, theaters and other establishments in Tennessee to post warning signs cautioning patrons that they “may be contributing” to sexual assault and human trafficking.

Kickstarter Revokes New Rules Banning Fundraising for Adult Content, Products

Crowdfunding platform Kickstarter announced Tuesday that it has reversed its recent decision to impose new “Mature Content” rules banning projects that involve adult content and sextech.

Magic Silk Expands 'Exposed' Line With 'Sinful' Collection

Magic Silk has expanded its Exposed line of lingerie with the Sinful collection.

Inside the Impact of New AV Laws on Sex Toy Ecommerce

Over the past few years, age verification (AV) has gone from a niche policy discussion to a very real, very immediate concern for anyone operating in the adult space.

Report: Irish Justice Minister Seeks UK-Style Ban on 'Extreme' Content

Ireland’s justice minister plans to introduce legislation criminalizing possession and distribution of “extreme” pornography, according to a report by the Irish Independent.

Orion Debuts New Styles From 'Svenjoyment' Line

Orion Wholesale has released three new styles from its Svenjoyment undergarment line.

Show More