Zeta-Jones and her attorney, John Hillman Lavely Jr., have sued The Spice House for using her image to advertise and promote the Nevada-based club.
According to court documents, Zeta-Jones claims her image appeared on multiple web pages featuring the club and models performing explicit sex acts. The actress is demanding payment for damages.
The incident occurred in October 2003, and after being contacted by representatives for Zeta-Jones the images were immediately removed from The Spice House website, according to the club's Marketing Director Kent Wallace.
A year later, the actress decided to file the lawsuit.
Wallace and the club's owner, Wesglow Resources, are reportedly blaming a web designer for the oversight, claiming that when the website was revamped, the designer believed that images of Zeta-Jones were in the public domain and did not require permission from the actress or her legal representation.
The lawsuit against The Spice House asserts that "commercial uses of Zeta-Jones' name, image or likeness to promote the sale or advertisement of any products or services dilute the value of her celebrity endorsement and lower the commercial value of her name and likeness in the eyes of other potential advertisers."
The wife of actor Michael Douglas is no stranger to court cases in which her image or reputation is allegedly being misrepresented.
Her attorney has filed similar lawsuits on Zeta-Jones' behalf, including a suit against a French cosmetics company for boasting that the actress "was spotted buying the complete Caudalie range of skincare." That case was dismissed in June.
Zeta-Jones also threatened to file suit against Clear Channel Worldwide for publishing photos of her when she was pregnant and topless, and other lawsuits were threatened against several other media outlets for making claims that the actress had lost weight on the Atkins diet.
A recent court victory for Zeta-Jones and Michael Douglas was awarded by a British judge after a tabloid published paparazzi pictures of the couple's wedding in its magazine. Zeta-Jones and Douglas were awarded $1 million in damages.