Update: NYC Adult Stores Dodge Bullet

NEW YORK, NY – Lawyers for adult businesses outside of recently designated adult zones have won a temporary stay of execution. The stay, delivered by the same judge who April 12 ruled in favor of a city crackdown, requires a five-judge panel to sign off on higher appeals before the city can begin padlocking the adult stores.

Jets Stadium on Manhattan’s West Side will be the biggest landmark in one of the city’s rezoned adult districts, according to the Appellate Division’s decision. The ruling would force many adult businesses to close shop and move to industrial areas on the island and outer boroughs. The stay allows some 200 adult businesses breathing room while awaiting permission to appeal.

Owners of adult businesses have been squeezed by the city since 1995, when the so-called 60-40 rule mandated that businesses devoting more than 40 percent of their floor space to adult materials would have to close or move to designated zones. One store, Bailey’s near Times Square, famously responded by stocking Disney’s “The Lion King” in six out of every ten feet of the store, filling the remaining space with adult videos and novelties.

When the Giuliani administration moved to close the loophole in 2001, a consortium of adult businesses took the case to the state Supreme Court, which called the city’s actions unconstitutional. The Appellate Division ruling reversed this.

Mayor Michael Bloomberg lauded the court’s decision by saying, “New Yorkers won't have to push their strollers past porn shops, have topless bars for neighbors or have to worry about peep booths in the back of their corner magazine store."

But detractors say the city will lose millions in tax revenues if all businesses on the wrong side of the 60-40 rule are forced into “adult ghettoes.”

Now that their stay has been granted, attorneys for adult businesses are banking on an argument before the state, which does not carry an automatic appeal if the case goes against them.

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

Pjur Introduces 'SachetCard' Dispenser at Düsseldorf's 'Sex Now' Exhibition

Pjur has introduced its SachetCard dispenser at the Sex Now exhibition at NRW-Forum in Düsseldorf.

AV Bulletin: Canada, Italy, Australia Updates

Since the Supreme Court’s decision in Free Speech Coalition v. Paxton, more state age verification laws have been enacted around the United States, as well as proposed at the federal level and in other countries. This roundup provides an update on the latest news and developments on the age verification front as it impacts the adult industry.

Lady Gang Performs Final Scene for Immoral

Lady Gang stars in a new trilogy from Immoral Productions, alongside Matt Bird, Charlie Dean, and site honcho “Porno Dan” Leal.

Kasey Kei Leads Latest From TransSensual

Kasey Kei stars with Avery Lust and Nicole Vaunt in the latest scene from Mile High Media studio imprint TransSensual, titled “Succubus Séance.”

Virginia 'Porn Tax' Bill Delayed Until 2027

A Virginia House of Delegates subcommittee on Monday voted to postpone until next year consideration of a bill that would impose a 10% tax on the gross receipts of adult websites doing business in that state.

Orion Unveils New Styles From 'Svenjoyment Bondage' Line

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

Adriana Chechik Returns to Tushy

Adriana Chechik stars with Dan Damage in the latest release from Vixen Media Group (VMG) studio imprint Tushy.

Yhivi Fronts New Brazzers Release

Yhivi stars with multi-XMA winners Mick Blue and Isiah Maxwell in a new release from Brazzers, titled "Immoral Yhivi."

Full Circle Introduces 'Sparkle' Plug Collection

Full Circle has debuted its new Sparkle line of jeweled anal plugs.

Vixen Media Group Extends Exclusive Contract With Jason Luv

Vixen Media Group (VMG) has renewed its exclusive contract with Jason Luv.

Show More